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How much of your account do you risk per trade, on average?


Discussion in Psychology and Money Management

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  #51 (permalink)
SunTrader
Boca Raton, FL
 
Posts: 263 since Nov 2018
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Tiffsgreta View Post
I trade about 12% of my account, for example. I trade option spreads. I have a small account $5400, and I'll buy a spread that costs me $700. So I know I only lose what I have invested - I prefer the low nightmare futures effect. Anybody else do this?

What is that?

Especially the futures part since you are talking about trading options.

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  #52 (permalink)
 
Tiffsgreta's Avatar
 Tiffsgreta 
Kanab utah/usa
 
Experience: Beginner
Platform: Zaner 360, Sierra Charts
Broker: Gain Capital, DeCarley Trading
Trading: ES, Options
Posts: 53 since Nov 2018
Thanks Given: 359
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SunTrader View Post
What is that?

Especially the futures part since you are talking about trading options.

@SunTrader my trades are more obscure than I thought. I sold a March corn 3.8 strike put. I bought a january soybean 10 strike and sold a january 9.6 strike. These are options on the underlying futures contracts. These are longer term swing trades that I don't have to watch every minute. Hope that helps :-)

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  #53 (permalink)
 
Tiffsgreta's Avatar
 Tiffsgreta 
Kanab utah/usa
 
Experience: Beginner
Platform: Zaner 360, Sierra Charts
Broker: Gain Capital, DeCarley Trading
Trading: ES, Options
Posts: 53 since Nov 2018
Thanks Given: 359
Thanks Received: 34

thanks for your input!

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