As traders we tend to risk our accounts everyday but how often do you feel like you’ve used your risk on the wrong trades? We have to be masters of risk management. One way to ensure we master our risk is to save our risk for A-plus setups. Think of risk as something that can be used like the money in our account.
When we start looking at our risk as a tool in our tool belt, we can look for the proper job to use that tool for. Taking bad trades is just wasting this precious resource. Save you risk until you see the perfect setup that compliments your edge. These are the days that we all wake up for, almost more than those big money days… almost!