The total investment must be limited to 50% of the total capital, and at any time, the trader's investment in the market shall not exceed half of his total capital. The remaining half is a reserve fund to ensure that when the transaction is not smooth or temporarily used, it will be prepared. For example, the total amount of funds in the account is 6,543,800 yuan, and only 50,000 yuan can be used for trading.
The maximum total loss of each short-term transaction must be limited to 5% of the total capital. This 5% refers to the biggest loss that investors will bear if the transaction fails. This is an extremely important starting point when we decide how many contracts we should trade and to what extent we should set up stop-loss orders. Therefore, for the funds in the account of 654.38+10,000 yuan, the funds that can be risked in a single market do not exceed 5,000 yuan. Any investment will have risks, but the size and control methods of risks are different. We investors should not blindly think about stocks. Futures. No matter how big the foreign exchange risk is, never enter this market with a "gamble" or "put all your eggs in one basket" mentality, especially in the futures market with a margin system (investment usually only needs to pay 5%- 10% of the funds). As a successful American futures investor said, the difficulty of futures investment is not the market strategy of futures investment, because it determines the entry into the market. There is no big difference in the way of going out of the market. The real change is to experience the importance of fund management.