Some Ways to Limit Your Risk in Forex Trading

[sayem001]

How can we limit the risk? Here are 3 basic methods.

-Risk reward ratio
-Limiting a single trade’s loss according to the account size
-Smaller trades in times of high volatility

[walkerbushgeorge]

I think the best way to limit risk is to do practice trading first, Do this so you get familiar with the way trading works. Best method for beginners is to follow this step.

[ValdisTF]

In order to limit your risk in Forex trading, you should try any strategy on demo account before using it on live!

[Andy Jones]

Many people are coming here with the intention of earning good profit in forex. But yes, when it is the matter of volatility a foreign currency exchange trader can experience some big hardships which he must encounter. And thereby a trader must try to work with full defense as per the market circumstances. Such as a trader can use various pending orders when he feels unsecured about his wealth position due to vague price change probabilities.

[Sininfinity]

Well I totally avoid trading during high impact news. Market becomes very volatile during that time and I am not comfortable trading in that situation.

[Ubasi Janin]

Use low leverage and narrow trading spread to lower your risk level. To reach the level of profitability may take you a long time. World economy analysis is needed to catch the direction of Forex market. For technical analyzers, Eurotrader can be a perfect choice because the broker allows traders with all technical tools.

[Batilda Bruno]

Trade in narrow trading spread-flourished trading pairs and also use low leverage in trading so you can lower your risk level. Eurotrader broker offers traders a 111% deposit bonus with narrow trading spread. The broker is highly secure for traders. They offer narrow trading spread and high leverage to traders.