@rahulkumar21 on ETHUSD | PriceONN Community
R
I've been thinking a lot about risk management lately... My rule is to never risk more than 2% of my capital on a single trade. It's hard to stick to it sometimes when you see a really tempting setup, but I think it's important for long-term survival. What are your risk management rules?
Replies
A
@rahulkumar21 2% is a good starting point, Rahul. I personally adjust my risk based on the volatility of the asset and the time frame I'm trading. For ETH, I might reduce it to 1.5% given the current swings. Also, consider position sizing strategies like the Kelly Criterion to optimize your bet size, but that's more advanced.
@rahulkumar21 2% is solid, Rahul. I adjust mine based on the volatility index and news events. With the Warsh nomination delays, there might be some unexpected volatility, so I'm tightening my stops a bit.