Risk Management and Trading Psychology
Most accounts do not fail because of a bad entry but because of a trade that was too large, a stop that was moved or a losing streak that broke the plan. These guides cover the money side and the human side of trading.
Start with the group that fits your problem: how much to risk, how to stick to your rules, or how to record and review your trades.
Guides in this topic
Money management
- Manage your trading risk
Risk Management in Trading: Rules, Math, Psychology
The 1% rule, stops, risk/reward, daily loss limits, leverage caps and the psychology of losing streaks, with the math behind each rule.
- Understand a stock market crash
Stock Market Crash: Causes, Patterns and Lessons
What caused 1929, 1987, 2000, 2008 and 2020, how deep the S&P 500 fell, how long recovery took, and the lessons for your own risk.
- Calculate your position size
Position Sizing in Trading: Formula, Calculator, Examples
The formula, a free calculator, the 1% rule explained correctly, and examples for stocks, forex and futures.
- Set a stop from volatility
Volatility Stop Loss: ATR Trailing Stops and 8 Methods
Measure, multiple and anchor, eight methods from the Chandelier Exit to the Parabolic SAR, and an SPY test of intraday against closing triggers.
- Avoid a margin call
Margin Call: What It Is, How It Happens and How to Avoid It
When a margin call comes, what your broker does next, whether you can owe money, and four rules that keep your account away from it.
- Size your risk per trade
Kelly Criterion for Traders: Formula, Calculator, Risks
The Kelly formula for traders with a calculator, and a simulation of why full Kelly is far too much.
- Calculate your risk-reward ratio
Risk-Reward Ratio: Formula, Calculator, Break-Even Win Rate
The formula, a free calculator, why 1:2 and 2:1 can mean the same trade, and the win rate each ratio needs to break even.
- Check a profit factor
Profit Factor in Trading: Formula, Calculator, Good Values
The formula, a free calculator, what a good value is, and why 61 trades showed 2.22 while 356 trades showed 1.37.
- Check if you have an edge
Trading Edge: How to Calculate, Test and Keep One
The expectancy formula, the win rate each reward-to-risk ratio needs, and the tests that separate a real edge from luck.
Trading discipline
- Avoid costly mistakes
Trading Mistakes: 13 Costly Errors and How to Avoid Them
The 13 mistakes that cost accounts the most, the biases behind them, overtrading and revenge trading, and a checklist for your next trade.
- Build a trading mindset
Trading Mindset: How to Think Like a Disciplined Trader
Why traders sell winners too early and hold losers too long, what overtrading costs, and five habits that help you follow your plan.
Trading journals
- Keep a trading journal
Trading Journal: How to Record and Review Your Trades
What to write before and after each trade, a completed example with a win and a loss, a weekly review and a template to copy.
- Choose a journal
Best Trading Journal Software 2026: 6 Tools Compared
Six journals compared on price, free plans, refunds, automatic broker sync, costs and export, with a decision guide.
- Check TradeZella
TradeZella Review 2026: Pricing, Features and Limitations
The three plans since July 2026, what Essential leaves out, the no-refund terms, imports, export and what users report.
- Check TraderSync
TraderSync Review 2026: Pricing, Broker Sync and Limits
Plans and dated prices, broker imports and autosync, Market Replay, Cypher and the no-refund policy.
- Check Tradervue
Tradervue Review 2026: Imports, Reports and Costs
Silver or Gold, why net P&L needs Gold, few automatic imports, US-only stocks, the no-refund sign-up terms and how to cancel.
- Check Edgewonk
Edgewonk Review 2026: Features, Costs and Limitations
One feature set billed monthly or yearly, the refund period, MetaTrader auto sync, the psychology tools and our own test journal.
- Check TradesViz
TradesViz Review 2026: Pricing, Broker Sync, Terms
The free stock plan, Pro and Platinum prices checked November 10, 2026, which US brokers sync automatically, the no-refund terms and user reviews.
Related articles
- Practice without risk
TradingView Paper Trading: Setup, Limits and Tips (2026)
Collect your first journal entries in a free simulated account before you trade with money.
- Test a strategy
Backtesting: How to Backtest a Trading Strategy Properly
How to backtest a strategy properly before you trade it, and what a clean test looks like.