The first rule — how much you risk per trade

If you read only one lesson in this whole course, let it be this one. Traders do not leave the market because they failed to find entries; they leave because they risked more than they could withstand.

The rule

Never risk more than 1% to 2% of your capital on a single trade. That is all. Capital of 1,000 dollars means risking 10 to 20 dollars per trade, no more.