POLL: Do you typically risk more money on a trade than you plan to make?

Do you typically risk more money on a trade than you plan to make?

  • Yes

    Votes: 31 58.5%

  • No

    Votes: 22 41.5%
  • Total voters
    53
In my experience it's reasonable to have stops that are larger than targets for individual positions. Ultimately, what matters is the portfolio performance, and as long as I have a PF > 1.5 (preferably 2), I'm fine with the trade-off between individual stop & target.
 
Quote from Thunderdog:

Although it is conventional wisdom to risk less money per trade than you plan (or hope) to make...
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It's not a clear cut question. I often take positions where I'm prepared to take a complete wipe out - 100% loss. Technically it's less than the upside when things go right but it's not generally in the spirit of the thing when people talk about loss size.
 
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