The Concept of Risk Management in Trading

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Booming Bulls aim to deliver quality content
about the stock market that can shape your
knowledge and lead you towards your financial
independence. While learning a lot from our
YouTube Channel, we provide more in our Booming
Bulls Elite Traders Live Mentorship Program about
Trading, and we motivate our students to live a
life that projects the path to their dreams.
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The Concept of Risk Management in Trading

• Target Setting
• The Real Importance of Risk Management in Trading
• Risk Management Techniques for Options Traders
• How Traders Can Eliminate Fear by Managing the
  Risk
• Unavoidable Risks in Trading
• Trading Psychology and Risk Management

• The Concept of Risk Management in Trading
• Risk-to-Reward Ratio
• Principles of Risk Management in Trading
• Define Percentage of Risk
• Using a Stop-Loss
• Position Sizing

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Trading Psychology and Risk Management
Every trader takes some amount of Risk for
every rupee reward that trader earns. Risk
management is how a trader manages that Risk and
comes out profitable over a series of trades.
Risk-to-Reward Ratio
For example, lets say a trade aims for 100
rupees profit and takes the Risk of Rs.50, then,
in that case, for every two rupees, the trader is
risking one rupee, and that is a
good risk-to-reward ratio to trade with. On the
other hand, if a trader aims for Rs.100 profit
and he is risking Rs.200 for it, then, in that
case, he is risking more than what he potentially
would get, and that is a bad approach to trading.
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Principles of Risk Management in Trading
By now, you must have understood the importance
of risk management in trading. Now, we will see
how we can apply certain risk management
principles while trading so that you, as a
trader, can make consistent and long-lasting
profits.
There are some fundamental rules of trading that
every trader must follow while trading If you
want to know fundamental rules of trading Please
visit here- Importance Of Risk Management In
Trading
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Risk Management Techniques For Options Traders
Options are high-risk and high-reward trading
instruments, and it isnt easy to trade in them
because they contain a lot of risks and are quite
volatile when compared to equity trading. Hence,
in options, there are some basic risk management
principles which you should follow. Another
important thing to understand is, if you are new
to trading and havent traded in equity, you
should first try trading in equity and becoming
profitable for a couple of months. Once you are
familiar with the basic trading rules, only then
should you try options trading with one or two
lots.
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Conclusion

• Trading is serious business, and in order to make
  money from it, you need to focus on the three
  most important aspects,
• Trading Psychology
• Risk Management in Trading
• Technical Analysis
• You need to master all three in order to make
  consistent profits in trading.

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About Booming Bulls

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Booming Bulls is a vision-driven organization
that mainly focuses on sharing the correct
trading principles. Founded by Mr. Anish Singh
Thakur in 2019, Booming Bulls has successfully
mentored more than 10,000 students until now. At
Booming Bulls, you can see a significant and
simplified picture of how trading can be done to
earn consistent profits from the stock market.
Having learned from various experts in the field
of the stock market, the founder of Booming Bulls
Academy, Mr. Anish Singh Thakur, has adopted a
practical approach with his own solid strategies.
Booming Bulls aim to deliver quality content
about the stock market that can shape your
knowledge and lead you towards your financial
independence. While learning a lot from our
YouTube Channel, we provide more in our Booming
Bulls Elite Traders Live Mentorship Program about
Trading, and we motivate our students to live a
life that projects the path to their dreams.
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THANK YOU!
Booming Bulls Academy https//boomingbulls.com
91 81302-45100