فوركس ساتو

ABOUT RISKS
Please remember to exercise good equity management in all your
trades, never risking more than 2% of your margin account on any
single trade, however if you have a small mini account you may
bend this rule to 5% (or even 10% but this is very risky). For
example, if you have $300 in your account, 2% is $6, equal to 6 pips
loss. Realistically you need to be prepared to suffer 10 to 20 pip
losses with this system, so obviously your risk per trade has to be a
bit higher than professional traders would normally employ. Once
you get your account to $1,000 or more then definitely limit your
risk to only 2% of your margin account on any single trade. Don’t
be greedy and you’ll survive a few losses to continue your gains.
Please don’t trade money you can’t afford to lose.
Let’s talk about risk-to-reward ratios. If you were to place a trade
FOREX Surfing Draft
for a 20 pip profit limit with a 20 pip stop then your ratio is 1:1 (one
to one). If you place a trade for 30 pip limit with a 20 pips top then
your ratio is 1:1.5 (one to one-and-a-half). A 40 pip limit with a 20
pip stop is 1:2 (one to two).forex sato
Let’s forget about the broker’s spreads for a minute. If you were to
toss a coin (heads you go long, tails you go short) technically you’d
have a 50/50 chance of winning or losing (the market can only go up
or down). If you were to trade with a 1:1 ratio then after a hundred
trades you should theoretically have around the same amount of
money left in your account.forex  sato
This would be kind of similar if you went to the casino and played
“red or black” on a roulette table (but please don’t confuse FOREX
trading as being gambling). Technically it’s almost a 50/50
opportunity. Where the casino has a statistical advantage is that the
table has a green zero and a double zero, which means that your
odds are now worse than a true 50/50. In much the same way you
have a slight disadvantage from a true 50/50 because of your
broker’s spread. So in truth, if you were to trade based on a coin
toss you’d ultimately be losing money.
So how do we place the odds back in your favor? You do this by
trading a strategy (such as what is in this eBook) that capitalizes on
“High Probabilities”. If you trade smart you should be able to
CONSISTENTLY catch around 75% wins (more or less, depending
on your skills – with practice you can increase this). So for
example, if you made 4 trades for 20 pips stop/limit, then odds are
that 3 of them would be winners, and one would be a loser. So
you’d have captured 60 pips (3 x 20 pips), but lost 20 (1 x 20 pips)
for a net of 40 pips.forex sato
Remember, ALL traders lose money. The trick is to gain more than
you lose.
Now when you start trading to capture larger pips, such as when
trading a 1:2 ratio like you would do with “Variation 2”, then
statistically the odds start working against you for winning this
trade, but by using “High Probability” strategies you again shift the
odds back into your favor. Let’s say that you only catch 50% wins
(though you should be able to do better than that). Half of the trades
you win, and half you lose. So if you made 4 trades, and assuming
FOREX Surfing Draftthat 2 of them won, and 2 lost then look at what happened. You
made 80 pips (2 x 40 pips), lost 40 pips (2 x 20 pips), for a net of 40
pips.
Remember, you are not after humongous gains. Don’t “bet the
farm” (all your money) on a single trade. Slow and steady,
CONSISTENTLY, is how you rack up a fortune. Please read the
eBook “FOREX Freedom” to see how you can accomplish this.
forex sato