Risk Management โ€” The Most Overlooked Trading Skill

You can have the best strategy, but without risk management, you will still lose.

๐Ÿ”น Position Sizing Rule:

Risk only 1โ€“2% of your account per trade.

๐Ÿ”น Always Use a Stop-Loss:

A stop-loss protects capital and keeps you consistent.

๐Ÿ”น Focus on R:R (Risk-to-Reward):

โ€ข Minimum: 1:2

โ€ข Ideal: 1:3

โ€ข High-quality setup: 1:5+

๐Ÿ”น Why It Works:

A trader with strong RR can stay profitable even with a 40โ€“50% win rate.

๐Ÿ’ก Pro Tip:

Trading is not about winning every trade โ€”

itโ€™s about managing your losses and maximizing your winners.

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