Money Management

Discussion in 'Risk Management' started by joames, Jan 9, 2007.

  1. joames


    I am customer and i like the service, but i have doubts about Fixed Ratio. I know very good this money management but:

    I use 0.5 lots, but i dont know what mean "Fixed Ratio Allow decrease.?"

    Other doubt: If i begin with account 10.000$ with 0.5 lots, and delta 1000, then next step is 0.6 lots if my account is 11.001? or step is to 1 lot?

    Must i mark 0.5 in Option Fixed Ratio Base Lot or 0.1?
  2. fx-auto

    fx-auto ET Sponsor

    Hi Joames,
    Fixed Ratio will increase the lot size as your account increases incrementally.
    "Allow Decrease" is to reduce the lot size if your account falls by the Delta amount.

    If your base lot is 0.5, then the lot size step is 0.5, and so forth.

    If you mark 0.1 the incremental increase will be by 0.1 every $1000 (Delta), when you account gets to $11,000 it will be trading 0.2 lots, etc.