Money Management

In forex trading, money management is the most important subject that needs to master before trading skill. Why? Because trader most important job is protecting the capital before grow it. Trader’s capital is the main ingredient, the fuel, the blood, that need for trade. How can a trader trade when the capital is gone already? Money management is the way to configure capital before jumping into the market.
Remember, the money management main purpose is to make sure that the trader can trade as long as possible or stay in the market as long as needed. When people search in the internet, they will find that to start trading in forex trading, the minimal capital requirement is around $25. Most of the people have $25. What people don’t realize is that forex trading is a business, not slot machine. Common people only see how easy to make profit in forex market with little money. They don’t learn deeper about leverage and money management. Then after trade once or twice, they lose the whole money. People blame that forex trading is equal to gambling. For me it’s same like blaming the knife because the cook got cut. Ignorance is that make most people lost money in forex trading. Greed is good,but be smart greed.
Apiary Fund emphasis consistency above big-huge profit. That’s because by nature big profit attached with big risk. You can’t avoid that. Apiary Fund has ‘safety net’ is 2 % total risk from capital in one day trade. Once the associates trader hit safety net 2% risk, the account will be locked and all open trading will be close, forcing to take 2% losses. Trading is a marathon, not a sprint. The Apiary Fund goal is to keep establish for a long time, not just for a short period. Money management is crucial and need to master before trading skill, to do that you can get a deeper understanding with Apiary Fund. Learn to trade properly and trade with company funds, not your own hard-money. Trading with Apiary Fund is a good start in money management, because trader uses Apiary Fund’s money, not their personal money, so one risk factor is gone.

About Vilas Kusumahardja

Originally from Indonesia, Vilas began trading ten years ago to support his love of travel. He figured that, as long as he could find an internet connection, he would be able to support himself. In 2008, he came to the United States and a year later, re-learned everything he thought he knew about forex. Now, he places trades using support and resistance, utilizing signals from EA's. Vilas helps at the Apiary Fund as a trader support representative managing the Apiary Fund blog and answering questions in the forum.

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