Beginner Trading Tip 1: Risk Control
One trade should never consume all of your funds.
Risk just 1% to 2% of your entire capital each trade as a newbie.
Why it counts:
Trading naturally involves losses. Little risk helps you to live long-term and protects your account.
Straightforward illustration:
Should your funds be 1,000
One trade just carries ten to twenty risk.
Simple guideline:
Before making a trade, always set a stop-loss.
Action point:
State your overall capital and compute 1%.
Use this figure as the most you can lose on each trade.
