don’t get high off your own supply - the first rule of money management
Wednesday, November 5th, 2008Trading successfully is about probability, not being right. Traders lose money on a regular basis.
Money management is an important strategy for minimizing loss and controlling risk. The first rule of money management is don’t trade the rent money. Or the grocery money.
I set up and funded a separate brokerage account specifically for short term trading. This is money I can afford to lose. When that account is empty, I’m done trading.