Risk Management Principles In Forex

What is risk management?

Forex risk management aik set of rules hai jo aapko ksi bhe trade kay negative impact sy bachata hai. Maslan agar aapko trade main loss hony lag gya to usko kesy manage kesy karna hai, us loss ko bara loss sy bachana kesy hai aur usy recover kesy karna ha. Forex trading better planning sy hoti hai aur aapky liey ye acha hoga kay aap kay pass trading start karny sy pehly aik acha plan mojood ho.

How to manage risk?

(1). Pehla rule ye hai kay aapko forex market kay baary main malumaat honi chahey. Forex market poori duniya ke currencies sy bani hai jesa kay USD, JPY, GBP, EUR, AND CHF. Ye saary currencies supply aur demand sy move karti hain.
FX (foreign exchange) or forex currencies pair main trade ke jaati hain. Currency pair ke pehli currency base currency aur dosri quote currency khelati hai, maslan EURUSD aik pair hai aur es main Eur base aur Usd quote currency kehlati hai. Ye basic knowledge aapky pas hona zaroori hai.

(2). Jab aap fx ma trade karty hain to aapko leverage ka sahi istemaal aana chahey. Agar aap leverage ka sahi istemaal nahi kar sakty yo account hamesha risk pe hota hai. Apny account kay capital kay hisab sy trading plan bana kar leverage ka sahi use karna intehaai zaroori hota hai.

(3). Aik acha trading plan aapky account ko save rakh sakta hai. Agar aik acha trading plan aapky pass mojood hai to aap market main zaida volatility kay time bhe achy decisions lay sakty hain. Ye bahut zaroori hai kay ap apna plan khud banain aur test kar kay implement karin. Kisi aur ka plan istemaal karny ke soorat main aapko nuqsan ho sakta hai.

(4). Risk reward ratio ko set karny say ap apny account ko achi tarha sy manage kar sakty hain. Risk reward ratio es tarha honi chahy kay agar aapki trades fifty percent loss main close hon aur fifty percent profit main to apko overall profit hona cahey. Maslan agar 10 main sy 5 trades main profit ho aur 5 main loss to risk reward ratio esy honi chahey kay aapko overall profit ho raha ho.

(5). Stops aur limits ko use kar kay aap apny account ko sahi manage kar sakty hain.

(6). Jazbaat forex market main aik aisa factor hai kay aapko ghalat faisla leny par majboor kar deta hai. Agar aapka apny jazbaat kay oper kabu nahi hai to ye aapko loss ke taraf dhakailta hai. Risk ko manage karny kay liey trading plan pe amal daramad karna chahey aur jazbaat ko haavi na hony diya jaay.

Ye saary points agar aap mind main rakh kar apny plan kay mutabik chalty hain to aap kafi had tak apny risk ko manage kar sakty hain.

Re: Risk Management Principles In Forex

Dear forex market main hum jab kam karty hain to isk liay proper plan karna bahot zaroori hota hai jab tak hum is main planning k sath kam nahi karty humain is main faida nahi ho sakta. Dear dekhny main forex ik asan business hy lakin kab hum is main kam karty hain to humain is business ke haqeqat ka pata chalta hy. Forec market main sub sy zaroori chez risk management Hoti hy her trader k liay risk management ko follow karna bahot zaroori hy.

Risk Management Kia Hy: Dear is market main hum dekhty hain k jab hum trade open karty hain to usk liau humain proper analysis karny hoty hain isk sath sath lot size ke selection karna hoti hy. Aur humain is main apni trade k sath stop loss use karna hota hy jab ap in different step ko follow karin gy aur trade lgain gy to apko faida hoga aur isi chez ko Risk Management kahan jata hy.

Risk Management ko kis tarha Manage kia jata hy: Dear forex market main Risk Management ko manage karny k liay following different steps ko mind main rakhna hoga:

Understand the Forex Market: Dear koi bhe trade open karny sy pehly humain forex market ko achi tarha sy smajhna hoga aur achi tarha sy is market ko understand karna hoga. Jab ap achy tareqy sy market k bary main study karin gy aur smjhain gy k is main kis tarha kam kia jata hy to apk liay asani hoge.

Leverage ka Istemal: Dear Risk Management k factors main ye ik sub sy important factor hy keun k hum dekhty hain k new traders leverage zyada hony ke base par lot size big use karty hain aur apna loss kar dety hain. Leverage ka sahi sy istemal karna chaye aur money management k sath kam karna chaye.

Experience & Trading Plan: Dear Risk Management main apka experience aur trading plan b bahot zyada zaroori hota hy market main ap kis base par trade open kar rahy hain aur kia risk reward ratio k sath kam kar rhy hain ye b bahot zaroori hota hy. Apka trading plan acha hoga to apko faida hoga.

Risk Reward Ratio: Dear forex market main jab bhe trade open karin to usk sath stop loss lgain aur ap apni trade k sath kitna stop loss laga rhy hain aur kitna take profit laga rhy hain ye apka risk reward ratio main pehlh sy he add hota hy.

Fundamental Analysis: Dear risk management k liay apko market main any wali news par bhe focus karna hoga jis main apko fundamental Analysis ko perform karna hoga. Jab ap market main any wali news par focus karin gy to ap market ke unexpected movement sy bach sakty hain.

Emotion par Control: Dear members forex main wohe log kamyabi hasil kar sakty hain jo achi tarha sy apny emotions par Control kar sakty hain. Keun k hum dekhty hain k jab bhe trade profit main ati hy ya loss main jati hy to hum usy close karny main jaldi karty hain. Agr hum apny emotions par Control karin gy to hmary liay faida hoga. Humain sabar sy is market main kam karna chaye.

Practice on Demo Account: Demo Account par practice bhe bahot zaroori chez hoti hy keun k is sy hmara trading experience aur market main apki performance dekhi jati hy. Jab ap kisi bhe strategy par kam karty hain to us main apka experience demo account sy he increase ho sakta hy.

Re: Risk Management Principles In Forex

aap ko jab market mai entry hoti hai tu aap ko aur bhi imortant chezo ka pata hona chaye ye aap ki trading mai acha role play kar gi aap ko trading mai her qadam mai ready hona ho ga aap risk managment kay bary mai bhi jan sakty hai aap ko risk manajement ka jo role hai wo bhi pata chal jai ga aap ko profit aur loss kay saat risk management ka bhi use karny kay liye koch khaas point ko follow karna pary ga wo kon si cheezy jisko aap jaan kar kaam kar per aap ko help ki zarorat pari gi aap ka kaam agr acha ho ga tu phir koi bhi mhuskil ho aap usko cros kar jai gay aap ki apni mhenat ho gi aap ka jazba bhi aap kay kaam aye ga aur aap ko kaam yaabi mili gi.

Re: Risk Management Principles In Forex

Risk Manangement kiya hai

Fore main trade karny k liye hamian bhut zada care rakhni hoti hai jaahan paar analyses zarori hoty hain waheein p hamain risk management karna bhi bhut zarori hota hai. Forex main kamaybi hasil karny k liye hamain risk ko maange karna hoga aur usko calculate karny k baaad he trade ki jasati ahi. Forex main acha profit hasil karny aur account ki safety k liye ahamin bhut muhtaat ho katrade karny ki zarorat hoti hai aur hamain bhut carefully risk ko calculate karna zarori hota hai.

RISK MANAGEMENT SY KIA MURAAD HAI?

Forex trading karny sy phly hamaian account ka capital ko check karna zarori hota aur account k capital sath sath jis currency , metal ya commodity paar trade karny ja rahy hoty hain tu hamain us main is baat ka khayal rakhna zarori hot ahia k haam risk ka khayal rakahin k jo trade haam apny account paar ly rahy hain wo is tarde ko leny k qabil hai yaa nahi. Risk ko calaculate karna zarori is liye hota hai taak keh haam apny account ko wash hony sy bacha sakain.

Risk Management aur emotions to be control.

Risk management aur emotions ek dusry k inverse cahlty hain for example jaab haam account k capital k mutabiq risk lete hain tu hamry emotios control main nahi hoty hain aur hamain bhut zada lot size aur multiple trades open karny ko uinsist karty hain tu is main emotions ko control karna zarori hota hai.

LOT SIZE .
Trade ko open karny sy phly dear traders hamain is baat ka khas khayal rakhan cahiye k hamain lot size apni equity aur free margin ko daikhty huye he istemaal akrni caiye . LOT size risk ko mitigate karti hai aur bhut bary loss sy bhi account ko bachati hai.

Trading Norm to set RISK & REWARD


Forex trading karny k liye hmain risk and reward ratio paar kaam akrna chiye kabhi bhi risk & reward ratio ko ignore nahi karna caiye agar aap forex main kamayab hona cahty hain tu hamain yeah maloom hona cahiye k haam risk & reward ration k hisab sy kaam akrain forex main mostly fresh trader ko 1:1 sy kaam akrna cahiye agar equity achi hai aur sahi trader hain ap tu hamain 1:2 paar kaam karna cahiye aur aksar traders aur analyses share karny waly hamesha 1:3 ratio sy zada recommend nahi karty hain jis ko adopt akrny sy ek tu account wash sy baach jata hai aur SL bhi hit karta hai tu hamain zada nuqsan ka samna nahi karna parta.

Re: Risk Management Principles In Forex

What is forex risk management:

Forex*risk management enables you to implement a set of rules and measures to ensure any negative impact of a forex trade is manageable. An effective strategy requires proper planning from the outset, since it’s better to have a risk management plan in place before you actually start trading.

What are the risks of forex trading:

Currency risk:
*Is the risk associated with the fluctuation of currency prices, making it more or less expensive to buy foreign assets

Interest rate risk:
*Is the risk related to the sudden increase or decrease of interest rates, which affects*volatility. Interest rate changes affect FX prices because the level of spending and investment across an economy will increase or decrease, depending on the direction of the rate change

Liquidity risk:
*Is the risk that you can’t buy or sell an asset quickly enough to prevent a loss. Even though forex is a highly liquid market, there can be periods of illiquidity depending on the currency and government policies around foreign exchange

Leverage risk:
*Is the risk of magnified losses when trading on margin. Because the initial outlay is smaller than the value of the FX trade, it’s easy to forget the amount of capital you are putting at risk

How to manage risk in Forex trading:

Set a risk-reward ratio

Use stops and limits

Manage your emotions

Keep an eye on news and events

Start with a demo account

Set a risk-reward ratio:

In every trade, the risk you take with your capital should be worthwhile. Ideally, you want your profit to outweigh your losses – making money in the long run, even if you lose on individual trades. As part of your forex trading plan, you should set your risk-reward ratio to quantify the worth of a trade.

To find the ratio, compare the amount of money you're risking on an FX trade to the potential gain. For example, if the maximum potential loss (risk) on a trade is £200 and the maximum potential gain is £600, the risk-reward ratio is 1:3. So, if you placed ten trades using this ratio and were successful on just three of them, you would have made £400, despite only being right 30% of the time.

Use stops and limits:

Because the forex market is particularly volatile, it is very important to decide on the entry and exit points of your trade before you open a position. You can do this using various stops and limits:

Normal stops*will close your position automatically if the market moves against you. However, there is no guarantee against*slippage

Guaranteed stops will always be closed out at exactly the price you specified, eliminating the risk of slippage1

Trailing stops*will follow positive price movements and close your position if the market moves against you

Limit orders*will follow your profit target and close your position when the price hits your chosen level

Manage your emotions:

Volatility in the FX market can also wreak havoc on your emotions – and if there's one key component that affects the success of every trade you make, it’s you. Emotions such as fear, greed, temptation, doubt and anxiety could either entice you to trade or cloud your judgment. Either way, if your feelings get in the way of your decision-making, it could harm the outcome of your trades.

Keep an eye on news and events:

Making predictions about the price movements of currency pairs can be difficult, as there are many factors that could cause the market to fluctuate. To make sure you’re not caught off guard, keep an eye on central bank decisions and announcements, political news and market sentiment.

Start with a demo account:

Our*demo account*aims to recreate the experience of ‘real’ trading as closely as possible, enabling you to get a feel for how the forex market works. The main difference between a demo and a live account is that with a demo, you won’t lose any real money – meaning you can build your trading confidence in a risk-free environment.

Re: Risk Management Principles In Forex

assalamu alaikum friends ummid karta hun aap sab khairiyat se honge aur market level per aap bahut jyada acchi trading kar rahe honge Allah aapko khush rakhe trading karne ke liye market travel per agar Ham trading karna chahte hain to hamen trading ke real estate ke bare mein janne ka bahut hi wajah hai aur sabse pahle hamen apna dam account banana chahie gas ke bare mein hamen thoda bahut experience Ho jaaye aur trading as possible in able ho jaaye to ismein aap difference with demo and live account is that the demo you won't lose any real money ke aap bahut hi apni rakam demo account per jyada loss nahin kar sakte meaning are you build your trading confidence in a risk free environment of risk environment main bhi acchi tarah earning kar sakte hain shukriya

Re: Risk Management Principles In Forex

What is risk management?

Forex risk management aik set of rules hai jo aapko ksi bhe trade kay negative impact sy bachata hai. Maslan agar aapko trade main loss hony lag gya to usko kesy manage kesy karna hai, us loss ko bara loss sy bachana kesy hai aur usy recover kesy karna ha. Forex trading better planning sy hoti hai aur aapky liey ye acha hoga kay aap kay pass trading start karny sy pehly aik acha plan mojood ho.

How to manage risk?

(1). Pehla rule ye hai kay aapko forex market kay baary main malumaat honi chahey. Forex market poori duniya ke currencies sy bani hai jesa kay USD, JPY, GBP, EUR, AND CHF. Ye saary currencies supply aur demand sy move karti hain.
FX (foreign exchange) or forex currencies pair main trade ke jaati hain. Currency pair ke pehli currency base currency aur dosri quote currency khelati hai, maslan EURUSD aik pair hai aur es main Eur base aur Usd quote currency kehlati hai. Ye basic knowledge aapky pas hona zaroori hai.

(2). Jab aap fx ma trade karty hain to aapko leverage ka sahi istemaal aana chahey. Agar aap leverage ka sahi istemaal nahi kar sakty yo account hamesha risk pe hota hai. Apny account kay capital kay hisab sy trading plan bana kar leverage ka sahi use karna intehaai zaroori hota hai.

(3). Aik acha trading plan aapky account ko save rakh sakta hai. Agar aik acha trading plan aapky pass mojood hai to aap market main zaida volatility kay time bhe achy decisions lay sakty hain. Ye bahut zaroori hai kay ap apna plan khud banain aur test kar kay implement karin. Kisi aur ka plan istemaal karny ke soorat main aapko nuqsan ho sakta hai.

(4). Risk reward ratio ko set karny say ap apny account ko achi tarha sy manage kar sakty hain. Risk reward ratio es tarha honi chahy kay agar aapki trades fifty percent loss main close hon aur fifty percent profit main to apko overall profit hona cahey. Maslan agar 10 main sy 5 trades main profit ho aur 5 main loss to risk reward ratio esy honi chahey kay aapko overall profit ho raha ho.

(5). Stops aur limits ko use kar kay aap apny account ko sahi manage kar sakty hain.

(6). Jazbaat forex market main aik aisa factor hai kay aapko ghalat faisla leny par majboor kar deta hai. Agar aapka apny jazbaat kay oper kabu nahi hai to ye aapko loss ke taraf dhakailta hai. Risk ko manage karny kay liey trading plan pe amal daramad karna chahey aur jazbaat ko haavi na hony diya jaay.

Ye saary points agar aap mind main rakh kar apny plan kay mutabik chalty hain to aap kafi had tak apny risk ko manage kar sakty hain.

Salam dear members g apny hmare sath bhut hi acha topic discuss kia hai jo risk management k related hai is tarah dear jo members trading krte hain unko to bht achy tarah pta hoga k risk management kya hai is tarah main apko detail sy risk management k bare main btati hon

( 1) Manage risk .

Dear to apko pta hai k hmhmy agr trading main kamyab hona hai to hmy forex market ka pta hona bht zaida zroori hsi . Is tarah apkapko pta hai forex market sari currencies sy mil k bna hai is tarah ye sari currencies supply or demand sy movmove krti hain .forex currencies pair main tratrade ki jati hai . Currency pairs ki phli currency base or dusrii currency quote currency kehlati hai .

(2) Lot size selection .

Dear agr ap risk management k mutabiq trading krna chahte hain to is k liye apko humesha small lot size select krna hoga ni to apke k liye kafi risky ho skhta hai . Apko pta hi hoga k minimum lot size sy hmara account humesha safe or maintain rehta hai . Or agr ap lalach main a kk maximum lot size select krte hain tto is sy ap k liye kafi zaida problems create ho skhti hain .

(3) Risk and Reward ratio .

Dear members agr ap risk or Reward ratio k mutabiq trading krte hain or is k sath agr ap stop loss or take profit ka bhi use krte hhain to is sy ap kafi acha profit hasil kr skhte hain . Or is main hmy humesha 1:2 or 1:1 ki base pr hmy decision making krni hoti hai .

(4) Experience and knowledge in trading .

Members agr ap trading main kamyab hona chahte hain to apko experience and knowledge k sath sath risk management ko bhi mind main rkh k hi trading krni hogi tab hi ja k ap is main kamyab ho skhte hain or hmy humesha trading planning sy krni chaiye or jb hmara trading plan acha hoga to hm is main kafi acha profit earn kr skhte hain .

(5) practice on Demo account .

Members agr ap trading main kamyab hona chahte hain to is k liye apko sb sy phly demo py practice krni chaiye us k bad hi ja k hm is main kamyab ho slhte hain is liye sb sy phly hmy demo account py practice krni chaiye jab tak trade confirm or proper clear na ho jaye tab tak apko kbhi bhi trade open nahi krni chaiye . Is tarah humesha practice kr k hi trade open kren ta k ap us main acha profit hasil kr skhen .

(6) Avoid lalach and jald'bazi .

Jo members trading main kamyab hona chahte hain wo kbhi bhi lalach or jaldbazi nahi krte is tarah agr ap in do cheezo sy avoid krte hain to ap ko kbhi bhi loss face nahi krna prhta .

Re: Risk Management Principles In Forex

Forex Trading main Risk Managemnt ko bohat zayada importance hasil hai, kyn k agr app risk management k mutabik trade nahi karen gay to app ka account wash b ho sakta hai, is lye real market main trade karnay se pehle is skill ko achay se seekh len aur phir trading karen gay to na sirf app ek acha profit hasil kar saken gay balke apka account b safe rahe ga.