Risk & Money Management
Your Breakeven Win Rate After Spread and Commission
A 1:1 setup breaks even at a 50% win rate on paper. Add 0.9 pips of spread and...
Risk & Money Management
Master the critical fundamentals of risk management and position sizing. Learn how to calculate risk-to-reward ratios, manage leverage safely, understand margin calls, control overtrading, and build a diversified portfolio that protects your capital while maximizing profitability.
Risk & Money Management
Losing Streak Math: How Long Is Normal at Your Win Rate
At a 50% win rate, the longest losing streak in 100 trades is usually 6. About 1 trader...
Risk & Money Management
Position Size Creep: Are You Trading Bigger After a Winning Streak?
Position size creep is when the risk you take per trade drifts above your plan without a decision...
Risk & Money Management
Risk of Ruin in Trading: Stress-Test Your Position Size With Journal Data
Risk of ruin is the probability that a run of losses takes your account down to a level...
Risk & Money Management
Portfolio Heat: How to Audit Total Open Risk Across Correlated Trades
Three trades can each meet your position-sizing rule and still leave too much of your account exposed to...
Risk & Money Management
Are You Holding Losers Longer Than Winners?
You close a profitable trade after 15 minutes because you don’t want to give the gain back. A...