Jump to content

Welcome to Digital Money Talk Forum - Forex, Ecurrency exchange and Cryptocurrency Forum - Sponsored by 1xBit.com
Register now to gain access to all of our features. Once registered and logged in, you will be able to create topics, post replies to existing threads, give reputation to your fellow members, get your own private messenger, post status updates, manage your profile and so much more. If you already have an account, login here - otherwise create an account for free today!



Orbex


1xBit



Read our Advertising Disclaimers


Refund Policy


Photo

money management and stoploos.


  • Please log in to reply
196 replies to this topic

#41
myregister

myregister

    Advanced Member

  • Member
  • PipPipPip
  • 6,927 posts

As long as you understand about it and also want to apply those things then you don't have to worry, also flexibility in this case is important for you. If you lose with money management it seems like you're just delayed when try to make profit, it is not loss.


  • 0

#42
sidejob

sidejob

    Advanced Member

  • Member
  • PipPipPip
  • 11,417 posts

MM and SL are defenitely connected to each other, bound to each other and traders from everywhere should give attention to this. MM and SL connected because in here you should allocate your money into SL, i mean in sense of prediction. You can predict at worst how much you lose and put in SL with lot size which means you should allocate your money, with good MM you can lower the risk and put the right SL amount.


  • 0

#43
gaban

gaban

    Advanced Member

  • Member
  • PipPipPip
  • 2,887 posts

MM and SL are defenitely connected to each other, bound to each other and traders from everywhere should give attention to this. MM and SL connected because in here you should allocate your money into SL, i mean in sense of prediction. You can predict at worst how much you lose and put in SL with lot size which means you should allocate your money, with good MM you can lower the risk and put the right SL amount.

SL and TP are parts of money management and you gave a good explanation about SL. And so, SL is a good tool for those who have no time to watch these candles 24/5 in order to prevent big losses that came from unexpected market movement...


  • 0

#44
sidejob

sidejob

    Advanced Member

  • Member
  • PipPipPip
  • 11,417 posts

That is why i often said if you don't have much time to watch your trading for 24/5 please use SL. One of the most useful tools aside from take profit but let me remind you, activate this early on in a reputable and trustable broker. There are some brokers who love to do SL hunting as you activate your SL and it is not easy to work with this kind of broker.


  • 0

#45
myregister

myregister

    Advanced Member

  • Member
  • PipPipPip
  • 6,927 posts

Well, it is clear here that stop loss and money management tied to each others, and if you have good understanding for both of these field you may be able to get the grasp of how to control the risk, with this you have potentially lower chance of bankrupt and it will help you boost your confidence to trade effectively.


  • 0

#46
gaban

gaban

    Advanced Member

  • Member
  • PipPipPip
  • 2,887 posts

money management is important in forex trading. Trading with having good money management it will provide comfort to our trading. Trading with little capital as long as we have good money management it will benefit us and our risk can be minimized by good


  • 0

#47
myregister

myregister

    Advanced Member

  • Member
  • PipPipPip
  • 6,927 posts

Yes, and like what i said before money management and stop loss tied to each others. So both of these two must be learned by traders no matter what. Risk/Money management ratio is depend to trader but mostly not more than 5%. As for SL i think this is quite easy, because you just adjust it with your money management.


  • 0

#48
gaban

gaban

    Advanced Member

  • Member
  • PipPipPip
  • 2,887 posts

the key to survive in forex is to have good money management. Trading to have good money management it will affect our trading success. Therefore, we need to always practice good money management by trying to trade with small capital first, so that will allow us to succeed in this business


  • 0

#49
Norm O'Neill

Norm O'Neill

    Advanced Member

  • Members
  • PipPipPip
  • 147 posts

I believe money management is definitely crucial but stop loss is something like jackpot for us because this is how we can fixed a figure to lose while we can open gates to unlimited prizes, but of course this is all to be done wisely and only then we will do well. I don’t think putting random stop losses is anything to be really happy about because that is not the reason stop loss is created for and will not reward us much. I always use strict stop loss with doing proper analysis, I use various indicators like MA and BB while i also check daily market news and analysis with OctaFX broker, and it really helps to get the right stop loss.


  • 0

#50
sidejob

sidejob

    Advanced Member

  • Member
  • PipPipPip
  • 11,417 posts

LOL, money management and stop loss is connected to each other. I mean SL is the part of MM, if your MM is good usually you spend only as much as 5% of your total capital. It is a different thing but if you really into money management you should know that stop loss is just the part to control your loss which means you also already manage your risk/money.


  • 0

#51
gaban

gaban

    Advanced Member

  • Member
  • PipPipPip
  • 2,887 posts

Having good money management is needed in this forex trading. because forex is a business that has a high risk that we need to be able to learn to manage the money that will make us better able to survive in forex


  • 0

#52
myregister

myregister

    Advanced Member

  • Member
  • PipPipPip
  • 6,927 posts

Money management and stop loss is related to each other, because stop loss is the main component of money management, it is like cut loss activity but in different manner since we know that stop loss works automatically not like cut loss(manually). SL also become a good thing for many traders who don't have time to watch their trading over and over again.


  • 0

#53
skyrock

skyrock

    Advanced Member

  • Members
  • PipPipPip
  • 500 posts
When its come to forex trading I think that money managment is very important its save our equity and help protect us from getting M.C that is true so stoploss help as well as money mgt
  • 0

#54
Levie

Levie

    Advanced Member

  • Members
  • PipPipPip
  • 299 posts

Good thinking but have you also considered that if you had not placed the stop loss and the trade continued the pother way round, what do you think would have happened. I think that the markets sometimes act this way as you have experienced but it is better to trade with a stop loss than without it.


  • 0

#55
radex78

radex78

    Advanced Member

  • Member
  • PipPipPip
  • 2,158 posts

Good thinking but have you also considered that if you had not placed the stop loss and the trade continued the pother way round, what do you think would have happened. I think that the markets sometimes act this way as you have experienced but it is better to trade with a stop loss than without it.

Sometime the trend market move unpredictable, might not all trader will knows if might central bank will intervention currency, and usually if central bank making action will making price on currency move strongest and rapidly because might central bank use hiuge money to intervention currency, if on these condition trader without stop loss and trade against the order hence will making lfe and might MC


  • 0

#56
skyrock

skyrock

    Advanced Member

  • Members
  • PipPipPip
  • 500 posts
@radex78,that is why we need do some analysis before engage ourself in trading as analysis will help us determind the trend of the market and that is good so trend keep us moving and give us the sizeable amount of profit we ever needed
  • 0

#57
Levie

Levie

    Advanced Member

  • Members
  • PipPipPip
  • 299 posts

This is two are best things to use for you to avoid difficulties. So both of these two must be learned by traders no matter what. Risk/Money management ratio is depend to trader but mostly not more than 5%. As for SL i think this is quite easy, because you just adjust it with your money management.


  • 0

#58
sidejob

sidejob

    Advanced Member

  • Member
  • PipPipPip
  • 11,417 posts

Money management and stop loss has correlation or relationship to each other, money management gives trader chance to reduce unecessary losses also avoid human to use their emotions too much when decide to close the position, in this case stop loss playing very important part


  • 0

#59
Levie

Levie

    Advanced Member

  • Members
  • PipPipPip
  • 299 posts

Your money is a huge part of your life. It can determine what you can do and where you can go. Learning how to manage your money the right way is an important step toward taking control of your life. as we are aware that forex is not easy to earn but you need proper money management plan to go with.


  • 0

#60
skyrock

skyrock

    Advanced Member

  • Members
  • PipPipPip
  • 500 posts
Money management is one of the thing which we need to look after to when talking about forex I love this business that is why am doing it with passion so application of money managment will surely rise the way you trade
  • 0