Money Management Strategies
suchiang
Posts: 63 ✭
Money Management Strategies
Low risk strategy
A low risk binary options money management strategy is for those who do not wish to take high risks. This will result in fewer profits but generally few or no losses at all.
Number of wins & number of losses – Stop trading after 10 wins – Stop trading after 3 losses
Percentage of losses – Stop trading after 8% losses
Amount of wins & amount of losses – Stop trading after $50 profits – Stop trading after $20 losses
Winning ratio – Stop trading if the winning ratio becomes lower than 80%
Number of trades – Stop after 10 trades
Medium risk strategy
The medium risk money management strategy is for those who would like to earn some extra money but still aren’t 100% sure if they want to go all in.
Number of wins & number of losses – Stop after 30 wins – Stop after 8 losses
Percentage of losses – Stop after losing 15% of your contracts
Amount of wins & amount of losses– Stop after winning $150 in a session– Stop after losing $50
Winning ratio – Stop if your winning ratio becomes less than 75%
Number of trades – Stop after 50 trades
High risk strategy
The high risk strategy is for those who are not afraid to lose large sums of money with the prospect of making huge profits fast. This risk assessment binary options strategy is only recommended to experts.
In this case, we’ll be allowing for a bit more flexibility and have defined the limits a bit loose (defined by the + sign).
Number of wins & number of losses – Stop after 100+ wins – Stop after 30 losses
Percentage of losses– Stop if you lose 25% of your trades
Amount of wins & amount of losses – You are already an expert, so you do not need a maximum win amount limit. – However, stop if you lose more than $100 in a session
Winning ratio– Stop if your winning ratio drops below 65%.
Number of trades– You can trade as much as you want, however in this case choose another limit from the ones mentioned above.
Low risk strategy
A low risk binary options money management strategy is for those who do not wish to take high risks. This will result in fewer profits but generally few or no losses at all.
Number of wins & number of losses – Stop trading after 10 wins – Stop trading after 3 losses
Percentage of losses – Stop trading after 8% losses
Amount of wins & amount of losses – Stop trading after $50 profits – Stop trading after $20 losses
Winning ratio – Stop trading if the winning ratio becomes lower than 80%
Number of trades – Stop after 10 trades
Medium risk strategy
The medium risk money management strategy is for those who would like to earn some extra money but still aren’t 100% sure if they want to go all in.
Number of wins & number of losses – Stop after 30 wins – Stop after 8 losses
Percentage of losses – Stop after losing 15% of your contracts
Amount of wins & amount of losses– Stop after winning $150 in a session– Stop after losing $50
Winning ratio – Stop if your winning ratio becomes less than 75%
Number of trades – Stop after 50 trades
High risk strategy
The high risk strategy is for those who are not afraid to lose large sums of money with the prospect of making huge profits fast. This risk assessment binary options strategy is only recommended to experts.
In this case, we’ll be allowing for a bit more flexibility and have defined the limits a bit loose (defined by the + sign).
Number of wins & number of losses – Stop after 100+ wins – Stop after 30 losses
Percentage of losses– Stop if you lose 25% of your trades
Amount of wins & amount of losses – You are already an expert, so you do not need a maximum win amount limit. – However, stop if you lose more than $100 in a session
Winning ratio– Stop if your winning ratio drops below 65%.
Number of trades– You can trade as much as you want, however in this case choose another limit from the ones mentioned above.
Comments
-
I don't like these kind of rules because they seem too much gambling oriented.
"stop after this many or that many trades" sounds like gambling to me.
You want to execute trades when your rules apply otherwise you don't take trades, it isn't about the number of trades.
However, from experience I know that you will get only a few perfect setups per day and that's that...
Furthermore, money management is not a strategy by itself, it is just a small part of
many many things you have to focus on and take into consideration while trading.
Just trade the same amount and keep it under 3-5% of your balance. If you have a long success rate you can
go on and raise your investment amount when your account has grown already.
But then again, only thing I agree with is that you should stop trading for the day if you have too many losses in a row.
It messes up with your head and results in chasing trade opportunities. Been there, done that. Just stop for the day so that is a good
advice.
-
Risk and Money Management are different. That looks as if he copied it from some book or website, its just silly really..
-
sorry..bec i dnt understand money management ..
-
lol why would you stop? If break even on your average trade is in the upper 50 range then anything above that would be net positive = profitable. I would think you would keep going as long as you were profitable and through exponential money management with geometric progression = Power of 2 keep growing like a snowball does as it rolls down a hill...
-
There was an error rendering this rich post.
-
nice vedio..i agree with you bryan.Thank
-
Great video Bryan, thank you! Wish I watched it when I were at the beginning of my BO journey - it would save me from some ridiculous mistakes.BryanMac said:Consistency and Money Management!!
https://youtu.be/sbPpO5ld_Uc -
*was
-
Have any of you try this? I like some of it and I would like to include it in my own strategy so I would like to know results.
-
This is great video Bryan, I have been practicing your strategy and I have been getting surprising results. But I have some doubts , would like to hear from you Bryan
1. Suppose I reached to 2K. So the strategy would be the same right .. investing 5%, Do we have to reduce or increase it to make consistent
2. What would be the withdrawal strategy... Ex after reaching to 2K.
Thank you -
great video...
