Trade and Risk Management
“If you have the ability to make money, bankroll management can make the difference between success and failure… I’m trying to be good at risk management. I want to make sure I can play tomorrow. Risk management is important.” – …
“If you have the ability to make money, bankroll management can make the difference between success and failure… I’m trying to be good at risk management. I want to make sure I can play tomorrow. Risk management is important.” – Kapı Alabalığı, trout business
Manage risk when trading across multiple channels. It starts with choosing the right business to do business with, then deciding to allocate capital and take the right position. However, risk management and loss reduction can also be achieved by understanding risk itself and human nature. With disciplined execution and financial management understanding, every investor will have a chance to succeed.
What you need to know about risk management
- The key to successful trading is managing risk and not overtrading. To manage your risk, you must first define your risk.
- Risk management begins with any new business. Futures traders who do not utilize risk management techniques will have a hard time making money.
- Before you enter a new trade, you need to know where you are going to leave (i.e. where you will place your loss) and how much you have in your account. The difference between your entry price and your stop (converted to USD) tells you how much you should risk on each trade.
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info@shenzhoucapital.com
Business Address: Ground Floor, The Sotheby Building Rodney Building, Rodney Village, Rodney Bay, Gros-Islet, Saint Lucia
Shenzhou Capital Ltd is registered as an International Business Company (IBC) in Saint Lucia under the laws and regulations of the International Business Companies Act CAP 12-14: Section 6. Our registration number is 2024-00180. The objects of the Company are all subject matters not forbidden by The Securities Act CAP 12.18 of the revised laws of Saint Lucia, in particular but not exclusively all commercial, financial, lending, borrowing, trading, service activities and the participation in other enterprises as well as to provide brokerage, training and managed account services in currencies, commodities, indexes, CFDs and leveraged financial instruments.
Risk Warning: Trading leveraged products such as Forex and CFDs may not be suitable for all investors as they carry a high degree of risk to your capital. Please ensure that you fully understand the risks involved, taking into account your investments objectives and level of experience, before trading, and if necessary seek independent advice. The possibility exists that you could sustain a loss in excess of your deposited funds and therefore, you should not speculate with capital that you cannot afford to lose. You should be aware of all the risks associated with trading on margin. Shenzhou Capital Ltd does not accept clients from the U.S., Canada, Iraq, Sudan, Syria and North Korea. Shenzhou Capital Ltd provides general advice: Shenzhou Capital Ltd provides general advice that does not take into account your objectives, financial situation or needs. The content of this Website must not be construed as personal advice. Shenzhou Capital Ltd recommends you seek advice from a separate financial advisor.