sean seshadri managing trades in volatile environment

Download Sean seshadri   managing trades in volatile environment

If you can't read please download the document

Upload: marry2life

Post on 03-Aug-2015

106 views

Category:

Business


3 download

TRANSCRIPT

1. Sean Seshadri 2. Managing Trades in Volatile environment

  • Entering a trade with little drawdown so a stop loss is not violated is paramount to long term success as a trader.
  • One has develop a great degree of patience as a trader which can only be achieved by trading an appropriate position size for your account size.

3.

  • For example if someone has a 25,000 K account size a common rule is to not risk not more than 250 dollars or 1% per trade.
  • The rational is that you would have to lose a 100 trades in a row to lose your account which is impossible.

4.

  • However, if that risk is too high for an individual with this account then you can decrease the account size to 100 dollars or less.

5.

  • The goal is to be comfortable with trading so you would be unemotional when you trade as one trading loss should never make one not trade in another 5 min interval.
  • By adjusting your account size you can manage trades better in a volatile environment.

6. http://seanseshadri.weebly.com/