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[Razor1911]

The trading business is uncertain and very risky. There is a high chance of losing money due to the uncertain behavior and many traders lose thier capital. So to minimize the risk a proper and efficient risk ro reward ratio is needed.

The risk to reward ratio and it's management must be used with a proper strategy. Because the market will move as it is alwyas moving. It's the traders who will need to remian updated with their management. A well planned risk management will surely help to achieve the target with less chances of losses.

 

[Niftyicon]

Risk management is of utmost importance when trading, it is certainly not funny looking helplessly at your account getting wiped out.

 

[Razor1911]

Risk management is of utmost importance when trading, it is certainly not funny looking helplessly at your account getting wiped out.

When risk is high, it is to be minimized by proper measures. And one of the measure is having a proper management. When we manage our things well, everything will automatically come to order.

 

[Niftyicon]

When risk is high, it is to be minimized by proper measures. And one of the measure is having a proper management. When we manage our things well, everything will automatically come to order.

It is good to be able to admit that profits and losses go hand in hand. The important thing is to make sure that those losses are minimized since they are unavoidable.

 

[Razor1911]

It is good to be able to admit that profits and losses go hand in hand. The important thing is to make sure that those losses are minimized since they are unavoidable.

The losses may be unavoidable, but that can be minimized with the help of proper management. When a trader applies proper management while trading, it will ensure that less risk is taken, and will eventually increase the profitability.

 

[Skysaint]

Although am not fully into forex trading but I can say that high risk to reward ratio should be avoided not only in forex trading but in all trading business. We should rather go with, low risk to reward ratio, I think that's better.

 

[Razor1911]

Although am not fully into forex trading but I can say that high risk to reward ratio should be avoided not only in forex trading but in all trading business. We should rather go with, low risk to reward ratio, I think that's better.

No. You are wrong. High risk to reward ratio mean when you take risk for 1 dollar, you are expecting a return of let's say 5 Dollars. So your risk reward ratio would be 1:5.

 

[Flower]

It is very important to take into cognisance the risk to reward ratio before delving into trading forex. If the risk to reward ratio is high, then do not enter trade.

 

[Skysaint]

No. You are wrong. High risk to reward ratio mean when you take risk for 1 dollar, you are expecting a return of let's say 5 Dollars. So your risk reward ratio would be 1:5.

Lol, funny. If you take a risk of 1 dollar to yeild 5 dollars profit, it means your taking a low risk that will result in a higher reward. If you take 5 dollars risk just to get 1 dollar profit, then you're taking a high risk to will result in a much lower result.

 

[Skysaint]

It is very important to take into cognisance the risk to reward ratio before delving into trading forex. If the risk to reward ratio is high, then do not enter trade.

Yeah, that's just my point. We should be observant on the risk to reward ratio, if it's high then there is no need venturing into a business where what you have to lose is much higher than what you have to gain.

 

[Wisdom01]

Yeah we need to be very concerned about risk management , because it's actually the first step to trading , if actually we want to make profit at the end of the day we would need to measure the amount of loss that we would risk

 

[ashim kate]

It is very important to note that in forex trading no matter how sure it read it looks like there is still a chance that it can still fail. That is where risk to reward ratio is coming into place. You should make sure that what you are gaining is not at the expense of you losing so many in a return.

 

[dorcasy]

The trading business is uncertain and very risky. There is a high chance of losing money due to the uncertain behavior and many traders lose thier capital. So to minimize the risk a proper and efficient risk ro reward ratio is needed.

The risk to reward ratio and it's management must be used with a proper strategy. Because the market will move as it is alwyas moving. It's the traders who will need to remian updated with their management. A well planned risk management will surely help to achieve the target with less chances of losses.

This is were stop loss comes in, people don't know how to set their stop loss and it's definitely a challenge.
Your stop loss should vary according to the pattern of your chart or by calculation 1:2.
It should be half of your take profit in the opposite direction.

 

[Lobardi]

That's Right many people who set extra ordinary margins usually fail to achieve the targets and then fall short of where they wanted to be

In that case they always try to and need to revise their targets so it is better that you have stop rewardd targets on both sides of your trading positions to be honest

 

[Ivanr01]

Forex , gambling , hyip , high yield systems almost are same things so you need to be better stay away from such projects all together and just focus on your job and simple life that gives you a pleasant experience and a happy life 24/7 , this way you remain down to earth & oberservant

 

[MayorKayz]

That is why we should never trade with all our money. But since we see forex as a risky business, why do we now still continue trading? Are we happy hat we are losing our money or we just want it like that? In any business we do, we are not supposed to invest with all we have and we must have a strategy for us to regain our loss. With that then the business will not be seen risky because we have a second plan which is the startegy.

 

[Ivanr01]

It ia very hard to stop once you are winning unless you have a proven method in any field in my choice I like affiliates marketing because you can choose a campaign according to your skills and then you
have a invest on your skills and some of money to make sure you get a positive return on investment

 

[infinitytech]

Forex , gambling , hyip , high yield systems almost are same things so you need to be better stay away from such projects all together and just focus on your job and simple life that gives you a pleasant experience and a happy life 24/7 , this way you remain down to earth & oberservant

Things's crucial to remember that in forex trading, no matter how certain anything appears to be, there's still a chance it could go wrong. This is when the risk-reward ratio comes into play. You should make sure that whatever you gain does not come at the expense of losing a large number of people.

 

[Wisdom01]

True, even the expert suggest not to use more than 4-5% for trading and 4-5% doesn't have be from your overall earning, but from the amount that left after the monthly expenditure. If you are able to save some money even after investing 4-5% from the amount that is left after the monthly expenditure then only you must step a foot on trading. Otherwise it is not a nice ide because this market is full of uncertainty.

most people truly makes this mistake of investing every of their investment ,I think you are right , investing 4 to 5 percent of earning is still very okay ,but reduction of the amount doesn't matter like that ,what really matters the most is actually the person getting the trades wall

 

[a_jerobon]

This is very true. Risks are so high in the forex market. This is mainly because of the volatility in the market. If you don't take care, you will end up loosing so much money. So a forex trader needs to measure the risks so well and look for ways to manage them. This is very possible and it is something that makes most people to succeed in trading.