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Sean Seshadri
 Everyone   knows that trading has significant

 risks attached to it. However, anyone who

 has achieved wealth in any kind of investing

 has had to take risk to get ahead.
 Most   people will take on too much risk when
 they start to trade because they have never
 been taught correct portfolio management
 and what markets to trade based on their
 current financial status. This is just one of
 the reasons why people fail among discipline
 and not having inherent instincts which can
 be learned over time.
 There   are day trading limits that one should
 be concerned with first. For example, one
 needs to have over 25k to day trade stocks or
 options multiple times intraday. One should
 focus on how much they are willing to risk on
 an individual trade.
 You   can risk 10 cents on a forex trade or 1,000
 dollars. When someone starts they should first
 practice on a virtual account before they feel
 comfortable using the brokers platform. Then
 they can slowly practice risking a smaller
 amount per trade.
 If   they are consistently profitable then one
  can turn up the volume when they are
  comfortable. This is different for everyone
  but this is a way that you are doing the right
  things to mitigate risk.
 With   this said people being people will still
 do the exact opposite and still fail as
 emotion is a big factor in trading and limits
 people from being successful.       That is the
 reason should follow these rules so they can
 avoid frustration and can see if trading can
 work for them.

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Sean seshadri controlling risk in 2012

  • 2.  Everyone knows that trading has significant risks attached to it. However, anyone who has achieved wealth in any kind of investing has had to take risk to get ahead.
  • 3.  Most people will take on too much risk when they start to trade because they have never been taught correct portfolio management and what markets to trade based on their current financial status. This is just one of the reasons why people fail among discipline and not having inherent instincts which can be learned over time.
  • 4.  There are day trading limits that one should be concerned with first. For example, one needs to have over 25k to day trade stocks or options multiple times intraday. One should focus on how much they are willing to risk on an individual trade.
  • 5.  You can risk 10 cents on a forex trade or 1,000 dollars. When someone starts they should first practice on a virtual account before they feel comfortable using the brokers platform. Then they can slowly practice risking a smaller amount per trade.
  • 6.  If they are consistently profitable then one can turn up the volume when they are comfortable. This is different for everyone but this is a way that you are doing the right things to mitigate risk.
  • 7.  With this said people being people will still do the exact opposite and still fail as emotion is a big factor in trading and limits people from being successful. That is the reason should follow these rules so they can avoid frustration and can see if trading can work for them.