By the end of this session you will:
- Understand what position sizing is and what effects it can have on your trading
- Grasp the massive importance of position sizing and how the incorrect use of it can turn a winning strategy with an edge into a losing one that costs you all of your money
- Understand the gambler’s fallacy and the negative results it can have on your trading
The benefits this session will give you:
- Position sizing (also known as money management) is an area where most traders make big mistakes, and these mistakes prove to be fatal. This is the one area that will have the largest negative impact on your trading account if you don’t understand it correctly, and this session will give you an introductory understanding of it while demonstrating its importance from a practical standpoint.
The Importance and Dynamics of Position Sizing Key Takeaways (PDF)
Position Sizing (XLS)