What is the best risk management strategy for beginner traders? Start by recognising that most retail traders lose money. Regulators have warned about this for years, and required risk warnings and disclosures back it up. A primary cause is not picking the “wrong” chart pattern. A primary cause is weak or absent risk control. Risk […]
Picture this: you enter a trade, the price moves against you, and instead of exiting at your planned level, you freeze. You tell yourself it will reverse. It doesn’t. You watch the loss grow from $80 to $180 to $340, and by the time you finally click sell, you’ve surrendered three times what a simple […]
Many new traders spend their first few months obsessing over strategy, hunting for the perfect entry signal, the best indicator combination, the setup that will finally improve trading discipline and risk control. Risk management, if it gets any attention at all, usually gets a nod and a “yeah, I know I should use stop-losses” before […]
Imagine two electricians finishing a busy month. One invoices more, but spends almost everything on materials, travel, repairs and jobs that must be done twice. The other invoices less, keeps expenses under control and finishes with a healthier business. Looking at the invoices alone would give you the wrong impression. Trading has a similar trap. […]
Discover how to set proper stop loss and trailing stop loss to protect capital and your profits
Let me ask you… Do you know how to apply forex risk management so your losses feel like an “ant bite” to your account? Do you have the ability to trade any markets or timeframes, and not blow up your trading account? Do you know the secret to finding low-risk high reward trades? If you […]
Don’t be fooled by the risk reward ratio — it’s not what you think. You can look for trades with a risk reward ratio of 1:2 and remain a consistent loser (and I’ll prove it to you later). Similarly: You can look for trades with a risk-reward ratio of less than 1 and remain consistently […]
Discover 5 proven trailing stop loss techniques to help you reduce risk and ride massive trends (this is the stuff nobody tells you).
I’ve seen some of your comments saying: “Hey Rayner, the markets are rigged because my stop loss always gets hunted! “If I hadn’t placed any stop loss, I could have stayed in the trade until the market reverses in my favour!” Now, I know stop loss order isn’t the sexiest topic to talk about. But […]
Discover how to set your stop loss order no matter what market or broker you choose