Transcript
1. Sean Seshadri 2. Managing Trades in Volatile environment
- Entering a trade with little drawdown so a stop loss is not violated is paramount to long term success as a trader.
- One has develop a great degree of patience as a trader which can only be achieved by trading an appropriate position size for your account size.
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- For example if someone has a 25,000 K account size a common rule is to not risk not more than 250 dollars or 1% per trade.
- The rational is that you would have to lose a 100 trades in a row to lose your account which is impossible.
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- However, if that risk is too high for an individual with this account then you can decrease the account size to 100 dollars or less.
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- The goal is to be comfortable with trading so you would be unemotional when you trade as one trading loss should never make one not trade in another 5 min interval.
- By adjusting your account size you can manage trades better in a volatile environment.
6. http://seanseshadri.weebly.com/