What maximum per-trade risk does the speaker recommend?

Kardec TraderFutures Trader. Creator of The Midas Touch. Mentor

My #1 Rule in Trading 🔥

12 Aug 2023 · 1 min

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0:35

Short YouTube tutorial by Kardec Trader advising strict per-trade risk limits (commonly 1% or 2% of total account). Speaker warns that risking large percentages (e.g., 50% of account) can quickly blow an account; by allocating a small, consistent percentage of risk per trade, traders minimize repeated losses, improve survivability, and increase chances of long-term success.

Questions this video answers

1% of the total account (the speaker also references a 2% variant).

Chapters

Because I see traders with $1,000 account risking $500 a trade, and in one or two trades they blow their account. The 1 and 2% rule essentially says that you will not risk more than 1% of your total account in a particular trade. Allocate a small percentage of risk, and whatever that risk percentage is, keep it consistent. Because if you can maintain a small risk per trade and keep that consistent, you will still be here in six months, you will still be here in a year or two years because you will make it easier for yourself. Losses over and over again because they will be so minimal.