Algo Education Continued. Let's look at Risk Management….
09 Jun 2023, 10:48
🤝 Algo Education Continued 🤝
Let’s look at Risk Management…
The software monitors the positions constantly and bases decisions to trade further on individual currencies that approach predefined limits only once exposure has reduced.
At the brokerage level, net open position "NOP" maximum limits are set to prevent over-trading and overexposure.
You can view the maximum limits and instruct any reductions in NOP.
Hard Stops at the account level protect capital from extreme volatility.
Stop losses are applied at the account level and are not put on every trade as that would create unnecessary losses during sequence building.
Once a sequence is in profit (but has not yet reached T/P), trailing stops on each trade will prevent a fall back out of profit (but the resultant profit will be smaller if triggered).