My Thoughts on Correct Trading Money Management
['Nial Fuller']
Learn To Trade The Market
One of the best ways to protect your money is by sticking to your trading strategy no matter if you’ve just won or lost on a trade, and not letting the results of your previous trades influence your next trade. Due to the fact that a Forex trading account or similarly, a futures trading account, is highly leveraged, there is no need to keep all of you trading money in the account or calculate your risk per trade based on a percentage of that account. So, as you can see, when trading a highly leverage instrument like Forex, we do not need to keep all our trading money in our account, so it makes no sense to calculate our risk based off our ‘account size’.