Hello everyone!
I've been trading for a while without position sizing and I'm really interested in the money management side of my system. I have 2000$ in an account and wan't to lose a maximum of 40$ (2%) per trade. I only wan't to base my entries by that, not by a S/L point on the graph or different to price. Can anyone help me with the maths?
I though of something like this, although it doesn't work: 2000/40 * Price atm= Position Size
Thank you very much!
Daniel
I've been trading for a while without position sizing and I'm really interested in the money management side of my system. I have 2000$ in an account and wan't to lose a maximum of 40$ (2%) per trade. I only wan't to base my entries by that, not by a S/L point on the graph or different to price. Can anyone help me with the maths?
I though of something like this, although it doesn't work: 2000/40 * Price atm= Position Size
Thank you very much!
Daniel