Position size is the only dial you fully control
Risk · OnlyTrade trading school
You cannot make a setup work. You can decide what it costs when it does not. Pick a share of the account you are willing to lose on one idea — one percent is the common answer — and let the distance to your stop decide the size, not the other way round: size = risk money ÷ distance to stop. A wider stop is not more dangerous if the size shrinks to match. This one rule turns a losing streak from an event into an expense.
About this lesson
Written by the OnlyTrade team as a general explanation of a market mechanic. It uses no live market data.
Education, not investment advice. No method or result is guaranteed, and trading can lose money. Read the Risk Disclosure.