|
PureBytes Links
Trading Reference Links
|
Ron wrote:
"So Tom.. What do you recommend as one (or more) of your
favorite sources for the study of money management?"
Most of my money management comes from my own experiences......IF I had to
give someone some quick quips it would be.........
1)Never risk more than 5% of your account on any 1 trade
2)Never risk more than 20% of your account on your total current
trades(cumulative risk,
remember, all of the trades you are in, can and at some time, will be
losers)...........
IF whatever methodology you are using requires you to place a stop beyond
these parameters....don't take the trade....there will be another trade with
less risk in the future.
This should keep you alive unless your methodology is just totally
wrong.....just some "luck" ought to bail you out IF the money management
allows you to hang around for awhile.
Hope this helps.........
Tom Stein
comfut@xxxxxxx
|