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2). Managing Risk: When trading the markets its important to h | Natt's Insider

2). Managing Risk:
When trading the markets its important to have FIXED RISK exposure and to treat your trading like a business. This is what you are happy to lay down per position, Possibly 0.50% or even 1% risk per trade which means no matter what happens in the markets you can never say you lost 10% in one day, THAT SHOULD NEVER HAPPEN.
Your Trading Account is your business, it's your everything, you need to treat it with respect.
For eg). If you have an average risk-to-reward ratio of 1:3, every time you risk 1%, you're looking at getting 3% in return.

This should never change, it should always be this way.