What is the function of Money Management in Forex?

n the situation of economic recession, AIR has used part of their bailout money and given out as bonuses to their employees, and this has caused public unrest and the wrath of US President Barack Obama. From here, we can see that Money Management is really something important in managing

money management is to invest in such a way that even if the market moves to worst position that's posible u dont loose your account and end up with nothing. they say only to invest 5-10% of your trading capital for a particular trade. before doing that u should calculate the range of the market within which the currency of your choice fluctuates. then u should assess and see the no of lots u can open according to your trading capital so that even if the market moves to the lowest point your account dosent close automatically.

course to maintain a more consistent trader in trade, avoid greed in order to maximize profits there. I use money management to determine the number of lots for which I traded.

what is the function of money for forex it is verey tough to explain it in bruef. money managemment is a system it ensures your profit with money management.

Dear sir i am also new in trading market and i have also this question on my mind i appriciate your question,i also request any experienced trader who know about function of money management in forex please explain our this question?

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Originally Posted by sweetrevenge88

Proper money management is important in your account. You want your trading account to last and survives the risky nature of this market? If yes then you have to understand that the only way to do that is apply good management in your capital by using low lot size,using stop loss and never do over tradings.

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yes before doing that u should calculate the range of the market within which the currency of your choice fluctuates. then u should assess and see the no of lots u can open according to your trading capital so that even if the market moves to the lowest point your account dosent close automatically. this is what i understand as money management.

I will be a trade well and make some real money and have to have some real money making way and go for it and go for it add is to well...

Mone direction is beta in byplay. If we do not system, we may play catastrophe. We moldiness discuss our nonmoving quality, tearful plus, liabilities etc. We can take money isochronous to our fixed quality. Then we know few travel top so that we can snap any possibility free at careful abstraction. I wish if we look these aspects, we testament not experience from moral somaesthesia.

obviously to maintain a far more constant investor within the buying and selling, prevent avarice to be able to increase revenue presently there. I personally use the cash administration along with every day revenue target 10 Pip.

the control is the significant things in foreign exchange market and it is the reason that cause to obtain cash or reduce cash , if we use it right we obtain and if we use it incorrect we reduction , the operate of the control is to make the investment safe from edge call and from big reduction.