Risk of Ruin: The Math That Decides Whether You Survive
A profitable trader and a blown-up account can run the same strategy. Risk of ruin is the math that decides which one you become, computed from first principles.
Otrai
Online Trading, Clarified
#Position Sizing
4 articles
Correlation and Diversification: Why 10 Tech Stocks Aren't a Diversified Portfolio
Diversification is not about how many positions you hold — it is about how differently they behave. Ten tech stocks that move together are one big bet, not ten independent ones. Here is what correlation actually measures and why it decides your real risk.
Pips, Lots, and Pip Value: The Forex Math Every Trader Needs Before Their First Trade
Before you place a single forex trade, you need to know how much you lose per pip. Here is the plumbing of forex — pips, lots, and pip value — worked out with real numbers.
Position Sizing: The 1% Rule and How to Calculate Risk Per Trade
Most traders obsess over entries and exits. The ones who survive obsess over how much they risk per trade. Position sizing is the single most important skill in risk management, and the 1% rule is where it starts.