The Ultimate Risk Management for Prop Firms

Hi

Nice 👍👍👏

🔥🔥🔥

I also risk 1% per day if I loose 1% than I stop trading for the day

What’s the best rr 1:2 or 1:3

I must adhere and implement these rules to become a consistent profitable trader.
Thanks Dan ❤

This is so so so helpful! Thanks Dan!

Informative👌

great video Dan

Funny this came up. I had just restructured mines. 😂😂😂

Champ

Thanks 🙏

Goated

King 🤴

Really helpful 🙌🏻👏🏻

Gyatttt

havent you already made this video twice

The most important part of trading beside psychology.Thank you for sharing Dan.

The guide is aimed at helping traders pass their funded challenges by effectively managing their risk. Here's a summary of the key points from the video:

1.- Fundamentally Different Approach: The presenter begins by highlighting that trading a personal account is different from trading a funded challenge, and trading a funded challenge is different from trading a live funded account.

2.- Funded FX Challenge Parameters: The video focuses on using "My Funded FX" rules as an example, which include a two-step challenge. Phase one has an 8% profit target, a 5% maximum daily drawdown, and an 8% overall drawdown. Phase two has a 5% profit target, an 8% maximum drawdown, and a 5% daily drawdown.

3.- Risk Management: The presenter emphasizes that risk management is crucial to pass the funded challenge successfully. They provide a detailed risk management strategy that adapts to different scenarios.

4.- Managing Losing Streaks: The strategy for managing losing streaks is designed to protect the trader's capital. The presenter suggests setting a maximum limit of 17 consecutive losing trades to avoid blowing the challenge account. The risk per trade is initially set at 1% of the account, and the presenter introduces a gradual reduction of risk in the event of losses to preserve capital. The risk decreases from 1% to 0.5%, then to 0.25% as the account balance decreases.

5.- Managing Winning Streaks: The presenter explains that during winning streaks, it's possible to increase risk gradually to expedite reaching the profit target. The risk can be increased from 1% to 1.5%, which would allow for a quicker achievement of the profit goal.

6.- Phase Two Risk Management: The same risk management strategy used in phase one can be applied to phase two, with the objective of preserving and growing the account while remaining within the drawdown limits.

7.- Live Funded Phase: Once a trader reaches the live funded phase and makes withdrawals, the account becomes relatively risk-free. The focus shifts to preserving the profits and stacking withdrawals. The presenter suggests that traders should prioritize withdrawals and aim to maximize their net return on investment.

8.- Key Takeaway: The presenter encourages traders to understand that losing accounts or challenges are okay as long as they achieve a positive net return on investment. It's essential to focus on the big picture and keep improving.

9.- Continual Learning and Growth: The presenter acknowledges that they are also learning and evolving in their trading journey, just like the viewers. They encourage everyone to focus on self-improvement and continuous growth.

10.- Resources: The video description contains links to various resources, including trader interviews and Discord communities.

The central message of the video is that effective risk management is crucial for passing funded challenges, and it's equally important to focus on the long-term growth and improvement of one's trading skills and investment returns. The presenter's strategy aims to provide a structured approach to managing risk during both losing and winning streaks while working toward the ultimate goal of a positive net return on investment.

Thankyou for this video❤

Awesome video, thanks for always sharing sauce and your journey 🙏🏼

damn this is saucy 🔥 - thanks my guy ❤

Thank u for the sauce brother 💙🙏🙏

It helps having a certain setup that is dependent on a higher tf like 1h 4h as a poi at a certain time of the day
Then you look for setup

Thanks for sharing - a make sense risk guide! I’ll see to implement this strategy 😅

Keep risk constant. just risk 0.5% throughout

Dan dropping gems as usual love it ❤

a spreadsheet of this would be nice, the 17 trades Ultimate Risk Management for Prop Firms pdf

Great video brother 🎉

what do you mean stop trading the account and rotate them?

Love this !

Sir i use strategy with 1:1 Risk reward.
Can i apply this risk management strategy on 1:1 ??

Bro can speak louder?

❤❤❤

Trading is Just a % game🎉
Thanks champ