The maths are simple. If you have risk to reward ratio of 1:5 ( the minimum said for TRD) you only need to be right 17 trades of 100 to be profitable.
If you risk 0.5% of the account constantly, in every trade, you need to be wrong 40 times for a drawdown of 20%.
Personally with a stop of 3 pips I'm only willing to accept a 0.25 % risk per trade, maximum 0.5%.
In this game there is a very important factor, that is psychological. After a serie of 10 or more consecutive losses, are you prepared for to take the next trade with the same risk? or will be, maybe, a revenge trade?
If you risk 0.5% of the account constantly, in every trade, you need to be wrong 40 times for a drawdown of 20%.
Personally with a stop of 3 pips I'm only willing to accept a 0.25 % risk per trade, maximum 0.5%.
In this game there is a very important factor, that is psychological. After a serie of 10 or more consecutive losses, are you prepared for to take the next trade with the same risk? or will be, maybe, a revenge trade?