Technical analysis by Investroy about Symbol BTC on 6/4/2024
https://sahmeto.com/message/3359889

Investroy
Rank: 5984
Analytical Power:
1.6
The Crucial Nature of Risk Management | Risk-Reward > Win Rate
Neutral
Price at Publish Time:
$68,813.31

Within financial markets, the crucial thing to bear in mind is the need for reliance on proper risk management, and the prioritisation of the 'risk-reward' mechanism over the notion of 'win rate'. By risking only 1% of our total trading capital per trade and refraining from putting all eggs in the same basket, we are retaining consistent profitability in the long run through the law of big numbers and with the aid of the 'risk-reward' principle. As it could be inferred from the illustration, by risking only 1% of the total capital per trade, with an average of 1:3 risk-reward and a win rate of 40%, it is possible to generate a return of +4% by executing eight trade positions only.
Source Message: TradingView