Risk Management in Forex Trading.

[anubhavsingh]

very nice sharing sir I really appreciate your affords according to my point of view risk management in the Forex market and while trading in the Forex market is very important I think we have to give some importance to the rules of the Risk and capital management while trading.

forex bahut hi zada risky trading platform mana jata hai kyunki isme market ka rend kabhi bhi badal sakta hai..isliye har trader ko risk management skills thik se aani chahaiye aur usse hamesha plan B leke chalna chahaiey takji agar uska 1 plan fail hota hai to wo dusre plan se kuch profit kama sake

[100c�]

risk management is similar with money management and this is very important to note and alway..
when the trader trade with pay attention to their risk then they have already traded with discipline and this is a good foundation for them to continue at this business
many traders worried about their money when they trade and loss it but if they always keep the risk and minimize it, then they will be get the best results

Yes no doubt risk management is very important to manage with positive sense but as well as if we trade with the help of news then it will become safe and sound for our account.

[newentry]

risk management is similar with money management and this is very important to note and alway..
when the trader trade with pay attention to their risk then they have already traded with discipline and this is a good foundation for them to continue at this business
many traders worried about their money when they trade and loss it but if they always keep the risk and minimize it, then they will be get the best results

[kaji]

To get to make a good money management, it must be positive, have an active mind, and we'll get a positive profit. If you think a lot at risk, you will not achieve your goal. as I told you, you must always be positive always take positive decisions.

I think to make a risk management we have to consider the possibility that we will face the worst.so that we can make the anticipation of all the possibilities that occur Any possibility that even that bad....

[twinkling star]

Risk Management in Forex Trading

Risk Management in Forex Trading is a term that is very important in trading world and at the same time is a major point which mostly gets out of focus when traders start real time trading. The first and foremost difference in trading a demo and a real account is the human psychology. The point is here that how to overcome this problem?
The best way to go is to practice hard and I strongly recommend to practice for at least 3 months as this time period will cover up learning the different time frames as well during that time; a trader can experience all effects of fundamental news and attributes.
Devise and test a risk management strategy over that period without changing it, no matter it is not providing any profits, just keep using it and analyze your strategy after 3 months of so that you can average out all the good and bad runs you had during that time.
Now coming to other part, i.e., devising a good risk management strategy. Originally the market used to not be for the small traders as brokers only allow standard lots or micro lots. Therefore if you are trading a small account, you are risking too much for a trade. In the recent years, there are introduction of new brokers that allows you to trade even 1 unit. This way, you can still apply the same proper risk management strategy or else your account will be blown before you know it.
To devise a risk management plan, first of all figure out what is the risk percentage per trade? For example, how much percentage of the account can be lost in the worst case of a trade?
Usually good traders make 1-2% as a mark to risk per trade. Next you have to set a percentage % of how much can you lose in your forex account (your maximum drawdown). For example, if you lose 30% � 50% of your account using a system. You should stop trading altogether and reflect back on your system. Find out why is it not working and where to tweak it to improve your future trades.
Once the maximum drawdown and the risk percentage per trade is defined, Always keep your stop fix and don�t extend it while you are winning trades.
I have seen traders extending their stops in hope that the market will come back and they won�t have to face loss in that trade. Believe me, often I have seen traders getting them into this situation and loosing out all account. There will also be times when you will be just stopped out and market will reverse, even in those cases don�t get disappointed and keep following the same strategy.
Therefore, even before any one starts trading, one has to devise a proper risk management. With a proper risk management system and combined with a good trading system, you are on the right track to success in forex trading.
Ezekiel Chew
Asia #1 Forex Mentor from www.asiaforexmentor.com

I am also agree with you as risk management is too much important if you want to stay in trade, as if you donnot want to loose yours account then you should strictly follow the money management rules, and risk management rules, even if you have seen a very good signal then you should not takle the risk high.

[manibhai2012]

Risk Management in Forex Trading.

very nice sharing sir I really appreciate your affords according to my point of view risk management in the Forex market and while trading in the Forex market is very important I think we have to give some importance to the rules of the Risk and capital management while trading.

[pritysharma]

Risk Management in Forex Trading

Risk Management in Forex Trading is a term that is very important in trading world and at the same time is a major point which mostly gets out of focus when traders start real time trading. The first and foremost difference in trading a demo and a real account is the human psychology. The point is here that how to overcome this problem?
The best way to go is to practice hard and I strongly recommend to practice for at least 3 months as this time period will cover up learning the different time frames as well during that time; a trader can experience all effects of fundamental news and attributes.
Devise and test a risk management strategy over that period without changing it, no matter it is not providing any profits, just keep using it and analyze your strategy after 3 months of so that you can average out all the good and bad runs you had during that time.
Now coming to other part, i.e., devising a good risk management strategy. Originally the market used to not be for the small traders as brokers only allow standard lots or micro lots. Therefore if you are trading a small account, you are risking too much for a trade. In the recent years, there are introduction of new brokers that allows you to trade even 1 unit. This way, you can still apply the same proper risk management strategy or else your account will be blown before you know it.
To devise a risk management plan, first of all figure out what is the risk percentage per trade? For example, how much percentage of the account can be lost in the worst case of a trade?
Usually good traders make 1-2% as a mark to risk per trade. Next you have to set a percentage % of how much can you lose in your forex account (your maximum drawdown). For example, if you lose 30% � 50% of your account using a system. You should stop trading altogether and reflect back on your system. Find out why is it not working and where to tweak it to improve your future trades.
Once the maximum drawdown and the risk percentage per trade is defined, Always keep your stop fix and don�t extend it while you are winning trades.
I have seen traders extending their stops in hope that the market will come back and they won�t have to face loss in that trade. Believe me, often I have seen traders getting them into this situation and loosing out all account. There will also be times when you will be just stopped out and market will reverse, even in those cases don�t get disappointed and keep following the same strategy.
Therefore, even before any one starts trading, one has to devise a proper risk management. With a proper risk management system and combined with a good trading system, you are on the right track to success in forex trading.
Ezekiel Chew
Asia #1 Forex Mentor from www.asiaforexmentor.com

I am a new trader in forex market and I am still learning the forex and it's rules.This is a very good idea to write a such blog here in the forex topics to help the new traders like me.It will help me to learn and trade in the forex market at the same time to earn money with the rules and the regulations.

[rahibul]

Most forex traders lose money. They do not understand the risk management and relevant regulations that apply in their trade. Risk management is knowing how much you are willing to take risks and know how much you want to get into a profession. So I want to say when you start trade you should to follow money management. Thanks.

[sibali]

No one is able to fight the market. The forex market is too big to be countered. The best way to survive and reach profit from the forex market is by application of risk management is good

[Tarek]

Risk Management in Forex Trading

Risk Management in Forex Trading is a term that is very important in trading world and at the same time is a major point which mostly gets out of focus when traders start real time trading. The first and foremost difference in trading a demo and a real account is the human psychology. The point is here that how to overcome this problem?
The best way to go is to practice hard and I strongly recommend to practice for at least 3 months as this time period will cover up learning the different time frames as well during that time; a trader can experience all effects of fundamental news and attributes.
Devise and test a risk management strategy over that period without changing it, no matter it is not providing any profits, just keep using it and analyze your strategy after 3 months of so that you can average out all the good and bad runs you had during that time.
Now coming to other part, i.e., devising a good risk management strategy. Originally the market used to not be for the small traders as brokers only allow standard lots or micro lots. Therefore if you are trading a small account, you are risking too much for a trade. In the recent years, there are introduction of new brokers that allows you to trade even 1 unit. This way, you can still apply the same proper risk management strategy or else your account will be blown before you know it.
To devise a risk management plan, first of all figure out what is the risk percentage per trade? For example, how much percentage of the account can be lost in the worst case of a trade?
Usually good traders make 1-2% as a mark to risk per trade. Next you have to set a percentage % of how much can you lose in your forex account (your maximum drawdown). For example, if you lose 30% � 50% of your account using a system. You should stop trading altogether and reflect back on your system. Find out why is it not working and where to tweak it to improve your future trades.
Once the maximum drawdown and the risk percentage per trade is defined, Always keep your stop fix and don�t extend it while you are winning trades.
I have seen traders extending their stops in hope that the market will come back and they won�t have to face loss in that trade. Believe me, often I have seen traders getting them into this situation and loosing out all account. There will also be times when you will be just stopped out and market will reverse, even in those cases don�t get disappointed and keep following the same strategy.
Therefore, even before any one starts trading, one has to devise a proper risk management. With a proper risk management system and combined with a good trading system, you are on the right track to success in forex trading.
Ezekiel Chew
Asia #1 Forex Mentor from www.asiaforexmentor.com

To get to make a good money management, it must be positive, have an active mind, and we'll get a positive profit. If you think a lot at risk, you will not achieve your goal. as I told you, you must always be positive always take positive decisions.