i trade currency-Training you in the forex online currency markets
i trade currency-Training you in the forex online currency markets
i trade currency-Training you in the forex online currency markets
HOME
FOREX INTRODUCTION
MARKET TERMINOLOGY
SUPPORT
GET EDUCATED
RISK MANAGEMENT
AFFILIATE PROGRAM
SOFTWARE
FREE DEMO TRADING
OPEN LIVE ACCOUNT
COMPUTER REQUIREMENTS
DISCLAIMER
DOWNLOADS
CONTACT US

Risk Management 

Every successful trader should know how much risk he is willing to take, and what profits should result from the trade. This is the basis of every realistic trading strategy. 

Is there risk?

There is almost always risk when you invest in this very lucrative and liquid market. The same old equation applies – High-income - High risk.

But we have addressed this and we call it RISK MANAGEMENT.

Without proper risk management this high degree of leverage can lead to huge losses as well as gains.

The most common risk management tools in FX trading are the limit order and the stop loss order. A limit order places restriction on the maximum price to be paid or the minimum price to be received. A stop loss order ensures a particular position is automatically liquidated at a predetermined price in order to limit potential losses should the market move against an investor's position. The liquidity of the forex market ensures that limit order and stop loss orders can be easily executed.

The amount of profit you can make depends on the size of your initial capital, the amount of work you are willing to put in, and your personal trading style, meaning how much risk you are willing to take. We strongly advise that all traders take the necessary time to do the proper preparation (training) in order to become consistent and successful traders.


© Copyright Frannor Trading 102 (Pty) Ltd 2002