Understanding How To Determine Your Loss If Your Trade Hit Stop Loss

How much capital you risk depends on your account size, but as a general rule, don't risk more than 2% of your account on a trade. In other words, don't lose more than 2% of your trading account on a single trade.
In this video you will learn how to adjust your Risk to 2%, 5% and 10% it will help you know how to determine your loss if your trade hit stop loss before you start any trade

• As a general rule of thumb, many traders don't risk more than 2% of their capital on any given trade.
• It's a good idea to use a conservative risk limit because you never know when a trade will unexpectedly move against you, and you may occasionally lose more than you planned on risking.
• Traders must have the discipline to exit trades when their maximum allowable loss has been reached.

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