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Trading glossary · risk

rulebook

Your own written list of safety rules for trading, such as how much you may lose each day.

The fuller meaning

A written personal risk rulebook: risk per trade, maximum open risk, daily and weekly loss limits, maximum leverage and what to do after a losing streak. It turns risk statistics into habits and is changed only between sessions, never in the middle of a streak.

rulebook, also called risk rulebook.

Related words

1% rule · ATR stop · average loss · average win · breakeven · breakeven win rate · correlation · daily loss limit · drawdown · equity curve