Introduction to Risk Management
Understand currency pairs, spreads, pips, lots and the basic mechanics of trading.
Introduction to Risk Management
Define an affordable loss budget, a reasoned exit and a position size before entering. Stops can slip and correlated positions can share the same risk. Include fees and avoid treating any percentage rule as universally appropriate.
Example
An illustrative $2,000 account with a 0.5% risk budget allocates $10 before fees and possible slippage.
All educational content is provided for general information and educational purposes only. It does not constitute investment advice, financial advice or a recommendation to buy or sell any financial instrument. Trading leveraged products involves significant risk and may result in the loss of invested capital.