Assist me please in comprehending risk management

[BiomeBlackCanary 23]

Hello, I'm new here and would like to gain a better understanding of what risk management in trading entails.

[Nether 7]

The process of identifying, monitoring, and managing potential risks in order to reduce the negative impact they may have on an organization is known as risk management. Security breaches, data loss, cyber attacks, system failures, and natural disasters are a few examples of potential risks.

[BiomeSupergirl 39]

Risk management refers to the informed decisions that a trader must make in order to avoid losing money while trading.

In forex, higher returns are obtained as your investment grows, but the risk also grows. As a result, traders must be able to plan ahead of time and minimize risks.

[WitherS 54]

Because forex is a risky business, traders must exercise extreme caution when making trading decisions. Their risk management strategy includes everything from deciding which trade to enter at what time to deciding how much to risk per trade. It's like figuring out a way to minimize your losses while still having enough money and strategy to return to the market.

[WitchesElektra 70]

Bro... the only risk management you need is to risk 0.75 percent per trade while ensuring a 5:1 RR and using a strategy that has a 51 percent win ratio and trade as close to the market's turning point as possible.

[TechieSilverfish 20]

Risk management, in my opinion, is the art of understanding how much you need to put at risk at any given time when trading, what situations to avoid, and whether or not to use leverage.

[GamerRedstone 55]

If theoretical knowledge is not helping you understand risk management, try using a demo account to learn how it works. Doing it practically, rather than just studying about it, will help you understand it better. To get the most out of it, however, you must treat the demo account as if it were a real one.

[TheEnd 28]

Risk management is a technique used in trading to avoid incurring unneeded losses.
Stop loss and trailing stop loss are two risk management tools.
There are other techniques that a trader can employ to avoid taking unnecessary risks.
One should not take on more than he can afford to lose.
Some traders calculate their risk-reward ratio and keep it at 1:2 or 1:3, depending on the market.
A 1:2 risk-reward ratio indicates that a trader avoids trades in which the profits are not equal to the risk.
A risk-reward ratio of 1:3 indicates that the rewards are three times the risk.

[FreakNether 7]

With stop loss, risk management protects your account from large losses.

[tActicde 26]

Never trade with money you cannot afford to lose. I always set aside a portion of my earnings to trade and then forget about it because losses are unavoidable for us traders.

[degesture 20]

Be Persuaded. Always trade with 2% of your total capital.

Don't overtrade, and always use SL and Tps.