CHAPTER 1. MONEY MANAGEMENT

Money management (MM) gives 50% contribution to be success in forex trading. Teknik Forex Terbaik .I will not explain you how to count margin, leverage, equity etc. I will give you the simple calculation you can apply. 

Here are the Money Management summary you should consider before start trading:

1. Never use small balance

The smaller your balance, the higher the risk will be. In the other hand, the bigger your balance, the lower your risk will be. It means, to make your trading safer, you must provide enough balance before trading. So, how much is the ideal balance for trading? At least $100. By deposit 100 USD, you can apply KEN FX TRADING SYSTEM well and safety. In conclusion, To keep your balance away from “Margin Call” NEVER trade with balance under 100 USD. 

NOTE: The more amount will be better.

2. Choose Big Leverage (Optional)

IF it is possible, choose as big leverage as possible. It will strengthen your margin. Personally I search for a broker which provide at least 500 leverage. It would be much better if the broker give you options to have 1000 or bigger leverage. So, what if the broker I use didn’t provide big leverage? IT DOESN’T MATTER AT ALL. It is not compulsory. You still can trade with any leverage you have. Do not worry about that.

Why we should choose big leverage? The reason is that we can have strong margin. Detail reasons about it will be explained in the last chapter.

3. Lot Management

It is the main part of money management. Because there are many traders do not know well about the use of lot management. Have you ever experience Stop out level? And your entry was cut automatically?. IF yes, you might apply “bad” lot management. Lot which is you use will affect the strong of your margin. You no need to learn about calculating lot, margin, etc. It is very time consuming and it only bothers you. Good news for you because I will give you the reference to apply proper lot management you can follow without counting and doing some boring things.

Note: Using lot with WEAK tenacity is NOT recommended. And you are still allowed to use the MEDIUM.

Congratulation, you now understand what is the best lot to use.

That’s all about money management. There is no successful traders without applying good money management.

TASK

Try to calculate your own balance and find the proper lot to use.

*If you have a question about money management you can ask through Facebook Group.