Can anyone recommend any good books, DVD, etc educational resources on risk management?
- Joined Feb 2006 | Status: Blah blah blah | 1,410 Posts
The breaking of a wave cannot explain the whole sea.
Money Management / Risk Management 24 replies
Successful Trade Management / Risk Management 0 replies
Anyone know any good options resources? 3 replies
Is this a good risk management place for a 5k FX account? 5 replies
Dislikedmost risk management the commercial services or even traders use
are all B/S grounded in assumptions, gambling, and exposing capital to RISK.
most will tell you and mark my words:
use stop losses ( stop losses are b/s, thats the best way to blow an account)
use risk reward ratio ( its impossible to actually calculate risk reward, we would have to know market movement to do so, never the less people would try)
my best advice to you is.
know the market
analyse areas of desired entries
identify trend
and scale in by price rhythm, scale out...Ignored
DislikedIt's off the beaten path, but you can find a lot of info on money management in poker forums. It's use is a little different but most of it is the same and it's easy to find. Same with psychology. Finding good, reliable info on Forex can be a real pain in the ass in beginning.Ignored
DislikedIt is possible to earn a trading profit if you have good research and trading knowledge. Money management is an important part of trading. It is not possible to proceed in trading without that part.Ignored
DislikedVery much so. Without them one may as well be gambling instead of trading.Ignored
Disliked{quote} One important difference between trading and going to the casino is that when you go out to gamble, you have a negative expected return. In other words, the house is always expected to win over the long run, on average. Trading , however, if done skillfully and artfully, can put you in the position of the house.Ignored