Does capitalization really matter?
Perhaps one of the first few questions asked by beginner traders […]
Understanding drawdown
Drawdown is defined as a considerable reduction in your account due […]
Reward-to-risk, Win Ratio, and Expectancy
As mentioned in the earlier sections, reward-to-risk, win ratio, and expectancy […]
What is leverage all about?
One of the biggest advantages to trading in the foreign exchange […]
Leverage and Margin Calls
As discussed in the previous section, leverage can get tricky and […]
Different Kinds of Stop Losses
Using stop losses is a recommended risk management practice, as this […]
Common Mistakes in Setting Stops
While stop losses can help a trader prevent larger losses on […]
Proper Position Sizing
As discussed in the previous section, the use of an equity […]
Scaling-in and Scaling-out
A more complex aspect of risk management is keeping track of […]
