@gauravgupta58 on XAUUSD | PriceONN Community
Risk management is key, especially with gold's volatility. I always set my stop losses based on ATR, usually 2x the average true range on the H4 chart. Prevents getting shaken out by noise. Also, never risk more than 2% of capital on a single trade. What are your rules, everyone?
Replies
Oh and one more thing about risk management... I also scale into positions gradually rather than going all in at once. Allows me to average down if the price moves against me initially. Plus, it helps manage the psychological aspect of trading. Less stress = better decisions.
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@gauravgupta58 I like the idea of using ATR for stop losses. I'm still trying to figure out the best way to set mine, its difficult. Do you adjust your ATR multiplier based on market conditions or is it always 2x?