📊 The Key to Trading Success: Money Management & Trade Size Trading isn’t about risking everything at once. Without proper money management, even great trades can lead to losses. Avoid greed—focus on sustainable growth.
🚫 Don’t Use All Margin on One Trade! Example: If you have $1,000, use only $30 - $50 margin per trade.
📈 How Much Leverage? Recommended leverage: 5x to 20x. Keeping leverage within this range helps manage risk effectively.
FAQs
❓ Is There Any Risk of Loss if I Follow Your Trades? There’s always some risk in trading. However, by managing your risk correctly, you can keep losses to a minimum.
🎲 What’s the Difference Between a Trader and a Gambler? A gambler aims to double money every day, while a professional trader focuses on managing risk and setting realistic profit targets. Remember: “Slow and Steady Wins the Race.”
Common Trading Terms
• TP: Take Profit • SL: Stop Loss • Entry: Trade Entry • Long: Buy Order • Short: Sell Order
Trading Tips
💰 Secure Profits at 150% When your trade reaches 50% profit, consider closing half and moving your stop loss to the entry point. This way, if the trade hits your stop loss, you still secure half of the profits.
🧘 Stay Calm After Entering a Trade Managing risk can help you avoid panic. Confidence in your strategy reduces stress.
The last time they shut down, gold and silver jumped to new all-time highs.
But if you’re holding other assets like stocks, you need to be extremely careful…
Because we’re heading into a total data blackout.
Here are the 4 specific threats:
– The Data: No CPI or jobs reports leaves the Fed and risk models unable to see what’s going on. Volatility (VIX) must reprice higher to account for the uncertainty.
– Collateral Shock: With previous credit warnings, a shutdown could trigger a downgrade. This would spike repo margins and destroy liquidity.
– Liquidity Freeze: The RRP buffer is dry. There's no safety net left. If dealers start hoarding cash, the funding markets seize up.
– Recession Trigger: The economy loses ~0.2% GDP per week of shutdown, potentially tipping a stalling economy into a technical recession.
In the last major funding stress (March 2020), the spread between SOFR and IORB blew out.
Watch the SOFR-IORB spread. If it starts gapping, it means the private market is starving for cash even while the Fed sits on a mountain of it. We saw this in 2020.
This sounds scary, but don’t worry I’ll keep you updated on everything.
When I decide to make a new move, I’ll say it here publicly for everyone to see, so pay close attention.