How much cash should I allocate when I trade?

Remember the principle…FIST, Forced Ideal Sized Trade.

A good rule of thumb is to limit your risk in an RPM (radioactive profit machine) to single digit risk, like 3% to 8% is great. AND…that percentage in cash should be less than 1% of your trading captial.

About admin

Leave a Reply

Your email address will not be published. Required fields are marked *

*

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>