Risk management

[Oliviathejackson]

Ola guys,
Can anyone help me with the "risk management"?
What are the strategies? I'm hell of rooky in this area.

 

[timsk]

'Ere you go:
What is Risk & Money Management?
Enjoy!

 

[ThaddeusFinch]

One of the techniques I frequently use to control risks is to enter and exit step by step. This method has proven to be helpful for me in a variety of situations. Stairway buying and selling is a brilliant strategy.

 

[Oliviathejackson]

'Ere you go:
What is Risk & Money Management?
Enjoy!

Thanks for sharing that mate!

 

[tomorton]

One of the techniques I frequently use to control risks is to enter and exit step by step. This method has proven to be helpful for me in a variety of situations. Stairway buying and selling is a brilliant strategy.

That sounds like something you have given a lot of thought to and actually tried it in real-life trading.

Maybe you would say a bit more about the techniques you have found useful?

 

[ThaddeusFinch]

That sounds like something you have given a lot of thought to and actually tried it in real-life trading.

Maybe you would say a bit more about the techniques you have found useful?

I agree with this viewpoint, and your own style and qualities can influence many aspects of your life, including trading.

 

[timsk]

That sounds like something you have given a lot of thought to and actually tried it in real-life trading.

Maybe you would say a bit more about the techniques you have found useful?

I'm guessing that the reply you've received from ThaddeusFinch might not be the answer to your question that you were hoping for?! If so, then my understanding of what he said (and the reply I was expecting him to give!) is that he scales into a position incrementally over time and likewise for the exits. Whether that's gradually adding to a position that's in profit or 'dollar cost averaging' to one that isn't - I couldn't say.

Back in the noughties, I remember ETX Capital ran a week long competition for a £20k cash prize and I used the latter technique to make stupid profits in one day to win a daily prize of a very nice bottle of Margaux. The problem was that I blew up the account four or five times in the process and had to 'reset' it back to the opening balance and start over. Unfortunately, I've never come across a live account that offers the same facility!

Tim.

 

[tomorton]

I'm guessing that the reply you've received from ThaddeusFinch might not be the answer to your question that you were hoping for?! If so, then my understanding of what he said (and the reply I was expecting him to give!) is that he scales into a position incrementally over time and likewise for the exits. Whether that's gradually adding to a position that's in profit or 'dollar cost averaging' to one that isn't - I couldn't say.

Back in the noughties, I remember ETX Capital ran a week long competition for a £20k cash prize and I used the latter technique to make stupid profits in one day to win a daily prize of a very nice bottle of Margaux. The problem was that I blew up the account four or five times in the process and had to 'reset' it back to the opening balance and start over. Unfortunately, I've never come across a live account that offers the same facility!

Tim.

If only life was so accommodating Tim. How many times have we done something in life and then wished there was a "Back" button?