Money Management

Discussion in 'Risk Management' started by trhudson, Nov 10, 2005.

  1. Another really big factor is that because I cut 1/2 the position when trading 200 lots, if I only have 100 and I should have taken a profit, what do I do? I usually hold the position until/if it breaks even. And this really messes things up.
     
    #11     Nov 10, 2005
  2. ktm

    ktm

    I would suggest the book I just reviewed here... Fortune's Formula.
     
    #12     Nov 10, 2005
  3. Here's a thought...should I base the return on money invested or as a percentage of what is at risk?

    Any ideas...

    Thanks
     
    #13     Nov 10, 2005
  4. Always a % of what is at risk. You could be trading futures with 20% down , i.e margin amount or stocks, 100% margin and the only thing that is common is the risk needs to be dealt with according to your $ risk in each trade.
     
    #14     Nov 10, 2005