Hi,
I'd like to make risk management my first priority and criteria. That is, I'd like to develop the habit of considering a trade only if the risk is within my predetermined percentage. I feel this is what traders should be learning first. When methods start to succeed, greed takes over, and I forget about risk.
Hoping to learn this fundamental lesson through this thread. Wish me luck!
Just want to stick to this risk limit for 25 trades if all happen to be losses.
Risk percentage per trade: 2% of total capital
Trading capital: 5000. Risk per trade=100
Trading instruments: Any (except options), preference- CrudeoilM.
Trading method: Price Action/Bollinger band bounce
Stop: Price Action (previous pivot), BB bounce (one point beyond the candle tip that bounces off the Bollinger band.
Target: Price Action (>= Double the risk), BB bounce (near the other Bollinger band). Reward >=2% of capital
Trading frequency: Once per day
Time Frame: any (preference for one hour)
Basically this means:
In trend, enter when the bar bounces off the 21EMA.
In range, enter when the bar bounces off either of the extreme bollinger bands.
I'd like to make risk management my first priority and criteria. That is, I'd like to develop the habit of considering a trade only if the risk is within my predetermined percentage. I feel this is what traders should be learning first. When methods start to succeed, greed takes over, and I forget about risk.
Hoping to learn this fundamental lesson through this thread. Wish me luck!
Just want to stick to this risk limit for 25 trades if all happen to be losses.
Risk percentage per trade: 2% of total capital
Trading capital: 5000. Risk per trade=100
Trading instruments: Any (except options), preference- CrudeoilM.
Trading method: Price Action/Bollinger band bounce
Stop: Price Action (previous pivot), BB bounce (one point beyond the candle tip that bounces off the Bollinger band.
Target: Price Action (>= Double the risk), BB bounce (near the other Bollinger band). Reward >=2% of capital
Trading frequency: Once per day
Time Frame: any (preference for one hour)
Basically this means:
In trend, enter when the bar bounces off the 21EMA.
In range, enter when the bar bounces off either of the extreme bollinger bands.
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