Few of my friends here have started to think that I have forgotten Newbie's corner. I write, when I get some valid query. So here come a new question. Query : I have been trading for 4 yrs, I have learnt all technicals but still I am losing money. I dont know why.
Answer : There are two possibilities. One is not knowing/learning technicals properly. People learn...
Greetings of the day...!!!
Sharing one case where we almost paid the penalty of not listening to chart...
Some days earlier we recommended a short in idea around 78 for targets of 76 and 74
Things were going good and our 1st target was achieved within hours....
Booking partial profits when target 1 was...
All the post are on trading /technical analysis. So thought of putting something on risk management .
What is Risk Management ? Now don't look blank, if your in markets you have to know about it.
Does every trade has risk and Is quantum of profit assured ? Yes every trade comes with risk and no assurance of profit.
How much risk can you take ? ...
Continued from Weekly Educational Series - PART 1 ;
So, now we have got our risk reward ratio and winrate.
We move on to calculate the expectancy of our trading strategy.
The formula is,
Expectancy = (Probability of Win * Average Win) – (Probability of Loss * Average Loss)
So, in our scenario,
For the benefit of other traders,
I am starting a weekly educational series where i will be covering lots of topics related to trading which everyone should abide by.
It will be in simple language and easy explanation so that everyone can understand.
There will be further detailed explanation of nuances if required by the members.
So, starting with the first...