Trading Strategies and Risk Management

Learn to develop effective trading strategies while maintaining proper risk management principles.

Strategy Development

A well-defined trading strategy helps maintain consistency and objectivity in your trading decisions. Here are key components to consider when developing your strategy.

Entry Rules

  • • Technical Indicators
  • • Price Action Signals
  • • Market Context
  • • Time Frame Analysis

Exit Rules

  • • Profit Targets
  • • Stop Loss Levels
  • • Trailing Stops
  • • Time-Based Exits

Risk Management Tools

Position Size Calculator

Calculate your position size based on your risk tolerance

Position Size: 500 shares
Total Risk: $100.00

Knowledge Check

What is the recommended maximum risk per trade as a percentage of your trading account?

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