{"id":626179,"date":"2024-05-15T13:45:07","date_gmt":"2024-05-15T11:45:07","guid":{"rendered":"https:\/\/ftmo.com\/?p=626179"},"modified":"2024-05-15T13:49:43","modified_gmt":"2024-05-15T11:49:43","slug":"risk-management-should-always-be-a-priority-to-preserve-capital","status":"publish","type":"post","link":"https:\/\/ftmo.com\/en\/risk-management-should-always-be-a-priority-to-preserve-capital\/","title":{"rendered":"\u201cRisk management should always be a priority to preserve capital\u201d"},"content":{"rendered":"
Proper risk management can be a big challenge for some traders. This is especially true for those traders who have experience trading on a small account and may initially struggle to manage such large sums after moving to a larger account with FTMO. Our trading rules are designed to help them do this, as proven by our new FTMO Traders Hesam, Muhammad, Karen and Timea.<\/em><\/p>\n Do you have a trading plan in place, and do you follow it strictly?<\/strong><\/p>\n Yes, I have my trading plan and style.<\/p>\n What do you think is the key for long term success in trading?<\/strong><\/p>\n The key to long-term success in trading is a combination of discipline, continuous learning, adaptability, and emotional resilience. It’s essential to develop a robust trading strategy based on sound principles and to stick to it through both favorable and challenging market conditions. Risk management should always be a priority to preserve capital. Additionally, staying informed about market dynamics, being open to evolving strategies, and mastering emotional control are crucial for sustained success over time.<\/p>\n What do you think is the most important characteristic\/attribute to become a profitable trader?<\/strong><\/p>\n Discipline.<\/p>\n What was the most difficult during your FTMO Challenge or Verification and how did you overcome it?<\/strong><\/p>\n The most challenging aspect of my FTMO Challenge or Verification was managing emotions during periods of drawdown. To overcome it, I focused on sticking to my trading plan, maintaining discipline, and regularly reviewing my trades to learn and adapt. Additionally, I practiced mindfulness techniques to stay calm and composed during stressful moments.<\/p>\n How did loss limits affect your trading style?<\/strong><\/p>\n Maximum loss limits enforced discipline and risk management in my trading style. They compelled me to be more selective with trades, avoid overexposure, and prioritize high-probability setups. Adhering to these limits encouraged me to stay within my risk tolerance and prevent catastrophic losses, ultimately shaping a more conservative and prudent approach to trading.<\/p>\n What would you like to say to other traders that are attempting the FTMO Challenge?<\/strong><\/p>\n Stay focused, stick to your trading plan, and manage your risk diligently. Embrace the learning process, stay resilient through challenges, and remember that consistency is key. Trust in your strategy, but also be adaptable and willing to learn from both successes and setbacks. Stay disciplined, stay patient, and believe in your ability to succeed. Best of luck on your journey!<\/p>\n Do you have a trading plan in place, and do you follow it strictly?<\/strong><\/p>\n I do have a trading plan that I’ve developed over time. While I strive to follow it as closely as possible, there are instances when market conditions or new information prompt adjustments. Yeah, I’ve experienced the downside of not sticking to my trading plan. Sometimes emotions or impulsive decisions can lead me astray, resulting in losses. I’m working on improving my discipline and staying true to my plan, even when things get hectic in the market.<\/p>\nTrader Hesam: \u201cLoss limits enforced discipline and risk management in my trading style.\u201d<\/h3>\n
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Trader Muhammad Waqas: \u201cI’ve experienced the downside of not sticking to my trading plan.\u201d<\/h3>\n
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