Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Swingtrading - Tricks of the Trade -- Ignore unavailable to you. Want to Upgrade?

To: William W. Dwyer, Jr. who wrote (26)	10/4/1999 11:37:00 AM
From: sammy	Read Replies (1) \| Respond to of 551

>>I suppose it's either gonna be risking maximum of 2% on any one trade, or 2% total of one's total account on ALL the trades open at one time. Frankly, I think the second is a bit too conservative.>> Well William, I personally risk between 1-3% of my total account. I don't think 2% total is at all conservative. In fact, the maximum risk most mutual fund managers will take is 1-1.5%. The name of the game is not to have any one trade wipe out your account. If one were to risk 2% on each trade in a 10 position, $10,000 account, that would amount to risk that could easily wipe anyone out. As for the $10,000 account 10 positions example, with an account that small, I wouldn't take that many positions for diversification's sake. There's not enough leverage in taking that many positons. Best regards sammy