How much should I risk per trade?

Enivid

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Staff member
Nov 30, 2008
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www.earnforex.com
The optimal risk per trade depends heavily on the nature of the trading system you are using. Do you have at least 30-40 trade results of your trading system to do the analysis and calculate the optimal risk size? If not, stick to the 1% risk per trade as a rule of thumb.
 
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Reactions: darrensammy
Jul 19, 2021
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Forex is all about taking risk but I’d say it's wise to not to take more than 2% risk. And remember to have a proper risk and money management strategy in place. Earning money through forex is an art but losing lesser money denotes a trader’s smartness, so make sure you imply stop loss where you don't suffer much loss.
 

sharabela

Active Trader
Oct 19, 2016
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With every single trade, you may take 1%-2% risk. You should not take more risk than this. You also have to make sure that you maintain a good risk-reward ratio and winning percentage. I am wishing you all the very best.
 

Bella.a

Trader
Oct 10, 2021
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Hello, it is considered good practice to have at least 2,0 risk reward ratio . That is the relation ship between the amount of return gained on a trade and the amount of risk undertaken on a trade . a Take Profit of 100 Pips and a S/L of 50 Pips gives you about 2,0 R/R . If you go with above criteria you will only need to be 33,4% correct to be in breakeven in your trades. In the real world the trading edge you will use will require an R/R 2.0 or above to be successful.

-Bella
 
Aug 5, 2021
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I've always heard that you should risk 1% of your account balance per trade, so basically $1 for every $100 in your account. In cases where you're extremely confident, some say they risk more.
 

sunar14

Trader
Jan 17, 2021
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Hi, i'm new in forex trading. Kindly help me what proportion should I risk per trade?
The risk should reflect the amount of money you can afford to lose in particular trade. It should be known in advance because unexpected losses are hard to manage