Risk management for investing - reducing risk day trading

Learn about managing money and reducing risk on short term day trading with FOREX and stocks/ETF's. On the trade reversal explanation it was a little hard to explain without writing out a chart diagram, I explained it reverse to what the scenario would have been, so my apologies. The scenario would have been based on if I placed a Buy on the EUR/USD and instead it goes down. Another wards the trend went against me going down in price instead of up in price. I would be losing on the first trade at this point. I would have placed another trade or SELL in the direction of the trend going down and then when the trend goes back up I close out the second order SELL for my profit. I place a BUY or I go long, now that the trend reversed and is going up again, after I closed out the 2nd sell order going down. That way you would have two winning trades versus one losing trade. The goal is to trade your way out of the losing trade so that the first trade eventually breaks even or it contracts in losses and you close out the first trade for a small loss and have two winning trades that eat up the small loss on the first trade. I will warn folks that this is VERY RISKY but from my experience with no stop loss so far, it seems to work less than 50% of the time and I would actually recommend taking the loss before it becomes too big of a loss on the first trade that went against you. A better strategy to use in my opinion, would be to place your trade reversal in the direction it went against you and cut the losing first trade. You can KEEP your loosing trade going but ONLY keep the loosing trade going if your long term trend on the first trade has NOT reversed direction long term, say on like a 4 hour or daily chart. I am making another video just on trade reversals since I may have confused folks on this, and I will link the video to this one at a later date so you can see in black and white, what I am talking about here, again my apologies. Facebook:https://www.facebook.com/investorsinvestingtips/ Google+:https://goo.gl/bI11pd

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