DislikedI hear this figure bandied about all the time but I think its a generalisation.Ignored
Rules used by others that you may not be aware of...
Bemac's 30/8 rule.
30% of Account exposed to Margin/Market {including Stop Loss}
8% OF THE 30% exposed to any One Market.
Futures:
Options:
Indicies:
Grains
Softs
Meats
Metals
Exotics
Currencies
Hards {Lumber, Copper etc.}
So... What does all this $hit mean?
Let's start here....
30% * 8% = 2.4%
In Each Market.
Forex = 2.4% Risk
Commodities = 2.4% Risk
Options = 2.4% Risk
to an accumulative Total of 30%
I've used this Rule for 15 years &, so far, it hasn't failed me yet.
Diversify your Trading.