Is It Okay to Be in Several Forex Trades at the Same Time?
I suppose if the trade setups are strong enough, it’s okay – or does it place your account at a bigger risk?
It depends on the account size . For a big account it’s nothing wrong to have multiple trades .
You shouldn’t do it. All currency pairs are somehow correlated. When there are several trade setups with different currency pairs at the same time, you should only take one of them that looks stronger and is with the currency pair that is more liquid than others.
If you take all of them, you will take too much risk because they can go against you at the same time.
Is not good to trade without caution
I love the way you answer the question and i quite agree with you.
But please out of EUR/USD and USD/CHF that is correlated. which of these is more liquid than the other? how can one know the correlated pairs and the one that is more liquid pair to trade in them
That is a very good question Oluwole. One that I have received an answer to in my years of trying to trade.
You must use proper risk management for each position you enter and once that’s done then you can enter the trades with 100% trade set-up.
Its not okay to be in several trades of different currencies since you will double your risk in case the market goes against you,try to go back to articles of currency correlation and Forex risk management
Yes, It’s better to play safe.
Of course it is, just have small positions and a massive account. Usually helps to trade non correlated pairs otherwise you are simply taking the same trade twice.
If you see a strong trade set up and goo confirmation its OK but you also think about money management depending of your account size.
it depends on your account size and the strong of the Trade setup you want to take.
You must also have a look at your money management.
Yes money management is the name of the game, dont overleverage and only enter trades that meet all of your criteria
If I’m trading, I would use only one. I have heard of people who have lost multiple times in different tradings.
You always have to go with what you are comfortable with – everyone has a different strategy and risk tolerance
Is very wrong trading system to be in different currency pairs at the same time, especially when it is correlated.