A clever money management system wanted

[Mr.]

Everyone is talking about how significant the cash management is, but nevertheless there's only threads about EMA5 crossing over EMA13 and so on with 30 pips stop and 60 pips limitation.

I figure there should be much more about money management than some stop loss, limit order, trailing stop, commerce per 1 percent of your account.

So please discuss some smart ideas for my cash direction, thanks.

[nebroman]

Merlin.... Sorry,can you tell me what percent R is? thanks. . Call me stupid too!!

Since Merlin recommended keeping it simple, I'd suggest he's saying to restrict your risk per trade to about 2% of your equity.

[ALIDAMDAM]

Everyone is talking about how significant that the money management is, but still there's only threads around EMA5 crossing EMA13 and so on with 30 pips stop and 60 pips limitation.

I guess there should be much more about money management than some stop loss, limit order, trailing stop, trade per 1 percent of your account.

So please share some smart ideas for my cash management, thanks.

No one understands the future of the price unless you are aboout to ditch or buy billions worth of instruments ( you know you'll move the price then)-

However, for us small fish:

1. Don't risk more than you are able to afford
2. Run your wins so you Are Able to Afford the more frequent declines
Take a little profit and then let the rest run... based on a confort

each to his own on TP and loss amount

only my two pips-

I'm sure others will come up with best counsel, and I'll wait and learn from them



May the pips be with ya

[gustavoalameda]

My guidance on MM is to KISS. I have researched and developed MM egies extensively. Not just creating my own stuff, but also studying the best books out there on the subject and putting the theories into practice. I began trading using the simple%R method, and I wound up doing a huge 1 year old research circle that brought me back to %R. and %R is where I have remained ever since. I am not saying use%R and be fulfilled, by all means you ought to do your research. It's a healthful travel to take. But ultimately, you will likely wind up trading%R

if you want to get serious about MM, here's a list of books you should consider studying, in the order they need to be read to construct your base....

1. Trade Your Way to Financial Freedom by Van K. Tharp
2. Elementary Probability by Edward O. Thorp
3. Quantitive Trading and Money Management by Fred Gehm
4. The Mathematics of Money Management by Ralph Vince

[serlinlop89]

Check out TKimbles MM in his Weekly scalping thread.

[aeromaro]

Merlin.... Sorry,can you tell me what %R is? thanks. . Call me stupid

[Fraileee]

Just use fixed fractional and do not get mad with all the leverage.

[hockeydiego]

I'm a trend trader, so which kind of money management would you indicate by your experience:

1) Aggressive - adding more money into a winning position.

Two ) Passive - taking out some profits and then letting the tendency ride rest for a more time with example half of the primary position?

3) Trailing stops - that I guess trailing stops are no good, since there's always whipshaws on a trend, so it's going to often get stopped out when you ought to actually input.

4) Something else? - would be wonderful to hear what kind of means is there to manage a trade?

[luucia7]

yakumojpn:

I know it does not address your protective stop handling questions, but the attached MSWord document may be of some aid. It has functioned well.

Re your Aggressive vs. Passive egy article:I find nothing wrong with adding to a position (climbing in) IF your increased risk and margin will be insured by your raised equity in the trade. Personally, I'm a major fan of your passive (#2) strategy and trailing stops (#3). ...\larry.bye
https://forexintuitive.com/attachmen...7407275594.doc

[Scarymonsters]

Keep margin lv above 7000, it is the safest thing I ever think