Never risk more than 2-3% of the total trading account. One important difference between a successful and an unsuccessful forex trader is that the first is able to survive under unfavorable conditions on the market, while an unsuccessful trader will blow up his account after 5-10 unprofitable trades in a row. Even with the same trading system 2 traders can get opposite results in the long run. The difference will be again in the money management approach. To introduce you to money management, let's use one fact: losing 50% of total account requires making 100% return from the rest of money just to restore the original balance.

Source: www.freeforextips.net

• Print
• Email
• Link
• Share