what is Good Guys welcome back uh welcome to boot camp I believe day 13. um hopefully you guys are ready to get into some disciplined stuff and uh for most you guys today is going to be relatively easy for others um you know you might be able to learn a little bit more but today we are going to talk about something very basic which is just risk management and really the first part about risk management in um uh in just trading uh and that is literally how much you are risking because when people say risk
management is the most important thing they're you know like it's it's true but also like it's it's the most important thing because of how hard it is due to all the other emotions so in this video we're going to talk about what risk management really is which is literally just how much to risk and when to risk it um and all those other emotions and things that we have to deal with that comes from discipline um so when people say yeah risk management is the most important thing they it's not wrong but it's um this
thing on um yeah it's not it's not wrong but it's also I guess just not phrased the right way I would say discipline is the most important thing and just having a stable um and strong like headspace is is the most important thing and not many people have that uh you know believe it or not in this world and you tend to find that you know you find someone that's super disciplined they're making a lot of money same thing applies to trading if you're super disciplined that money will come um just like with any other
job right if you put in the work the money will come right back to you um you know you just got to do the right stuff and don't slip up okay so today it's going to be relatively quick video but it is very important if you don't know anything about it and like I said um all over Tick Tock and like I've said at the beginning we are doing this from scratch so this is essential for me to mention um especially because I feel like a lot of you guys come into this thinking you are
going to make 100K in your first year I hate to ruin your dreams I hate to break it to you bro you're not gonna make [ __ ] you're going to lose money probably in your first year probably in your second year imagine this is like college tuition you're paying you're paying for the lessons Okay so how can we make it so we lose the least amount of money because it's kind of impossible to to just start off OfferUp even if you've been trading on demo even if you go from demo profitable on demo to
live there is going to be an in-between where you are losing money um just because your emotions it's it's so hard and that's why half of this literal boot camp is all dedicated to emotion so hopefully we can start nipping those things in the ass and you know like cut out a lot of these problems that you'll face along the way as long as you guys listen as long as you listen Okay so today what are we talking about we're talking about risk management how much you should risk per trade and that's about it and
how often you should trade because that's really all risk management is right what are we doing managing our risk how do we do that understand what we're risking and understand not to overdo it okay so how can we do that what I like to do very simple okay risk one to three percent of your account and that's it okay you're risking one to three percent of your account size per trade okay and depending on if you do Futures if you do options if you do Forex there's a bunch of different ways to calculate this and
figure out your risk um and it's relatively easy on all of them and a little simple Google search can help you out how do I risk one percent of my account doing options with this stop loss how do I risk one to three percent of my account doing futures with you know a two-point stop loss with a five-point stop loss with a ten point stop loss right how do I calculate you know how do I figure out one percent risk on this account size with this pip stop loss for Forex for example okay simple Google
search or literally just looking up lot size calculator position size calculator all of those things work um that's not for me to do that's for you to do that's your homework there you go that's one step of your homework okay you can figure out where you can find out to calculate that that's not what I'm here for Google can do that in two SEC seconds and I'm not going to waste my time explaining that so that being said you're going to risk one to three percent of your account why are we doing this well let's
think about it logically right if we are risking one percent of our account per trade that means we would have to lose a hundred trades in a row to lose that account completely will that happen rarely right you may be asset trading but you will probably get at least like two out of your ten trades say it take profit um whether it's from luck or just yeah it'll probably be from luck if you're a terrible at trading right um so right it's pretty much impossible to blow your account risking one percent per trade because that
pretty much means you would have to lose 100 trades in a row and you aren't going to do that and then from there it's like okay let's say like even then like let's say you're losing 80 of the time if you're only risking one percent then like you know at the end of the year you'll still have 20 of that account left and that's still money that you saved right instead of blowing all of it in two weeks and then having to refund it right so let's think about this logically would you rather be able
to keep the initial account that you started with or or would you rather keep having to fund that same amount of money that's in your account right now every [ __ ] week because you keep losing it all because you want to get rich quick and we know damn well you aren't right we talked about this at the very beginning you will not get rich quick doing this get that [ __ ] out of your head okay get it out of your head and once that's gone say okay cool I'll get rich slow relatively slow
right um so I'll get risk slow how do you do that by risking one to three percent of your account okay what else does this mean this also means okay yeah we're risking one percent per trade that means it takes 100 trades for us you know to lose everything however what happens if you take 100 trades in a day that means that account will be gone in a day and we can't risk that we can't this is a risk on Marketplace this is a risk on asset this is a risk on job okay if you
if you are the type of person that needs instant gratification and you need it every second of the day this is not for you because with trading you literally trading is not what people painted out to paint it out to be trading is waking up and doing something emotion like without emotion and and you have to you have to be able to make up to upwards of 60k in a day and be emotionless and also lose you know up to like 20 I lost like 27k like two weeks ago in one trade in a day
and you have to be emotionless because the second the second your emotions plug-in boom you're [ __ ] that account consider that gone literally considering gone the second you start over trading the seconds you start taking more than the set amount of Trades that you wanted to take per per day the minute you start doing more than that that's when you screwed the minute you start risking more that's when you're screwed and you're probably thinking no no that's not going to be me it's not going to be me I'm going to follow tjr it's trust
me you will make this mistake without a doubt but again remember what we said last time last last discipline class understand when the mistake happens and never do it again right it's like imagine you have the best the best job in the world and you have a boss and you're getting paid millions of dollars a year and you [ __ ] up you make a mistake and your boss comes to you and says I can fire you right now or I'll give you one more chance but you can never make this mistake again right never
make that mistake again because this is literally the exact same situation because you are literally on Pace to pretty much an infinite source of money with this skill as long as you follow these damn rules because think about it this way if you had two hundred thousand dollars in your trading account would you be trading the way that you are now would you be risking 20 to 30 per trade would you be risking your entire account on a trade would you be taking 10 trades a day and would you be okay with losing 10 trades
every single day with that high of a risk you probably wouldn't especially if it was two hundred thousand dollars and you're probably saying tjr my account's not at that size right now I know it's not at that size but you have to treat it as if it is at that size because that's just like you know some [ __ ] ass kid in high school or in college saying I don't got to do this I don't got to do that I'm not in the NBA yet well how the [ __ ] do you think you're
going to get into the NBA how how the [ __ ] do you expect yourself to get to that point if you can't even act and hold yourself like the people that that are already doing that are you know how do you expect to get there you really think you're going to do it a different way you really think of all these people that are doing this successfully you really think that you can do it a different way right let's let's think about this okay so now that we understand all that perfect [ __ ]
stick to it that's what risk management risk management is clap it up you figured it out you're done now you just gotta stick to it and that's the hard part so super [ __ ] easy video today write down in your notes risk management what am I risking one to three percent per trade how many trades am I taking per day this is what I would like to say risk one to three percent of your account per day that just makes it easy that makes it the easiest thing possible because then it's like okay I
can take two trades with 1.5 risk or I can take one trade with one percent risk I can take one trade with three percent risk I can take three trades with one percent risk either way you're still within that threshold and you can take you know one or two setups right if you see two setups for the day perfect and guys the nice thing is you're not always going to see multiple setups every day you know who knows some days you might not see any setups and you risk zero on the day other times you
see two setups and you wanna you know go heavier on the wrist because all the biases are aligning right and that we'll cover that in this course as well but for risk management one to three percent a day because all you're doing here is living to trade another day if you can live to trade another day there will always be setups tomorrow this Market is not going anywhere this Market's not going anywhere so stop trying to rush the process drop like you guys realize you're trying to go from zero to 100K in under a month
do you realize how [ __ ] stupid that sounds you are me okay that's you that's you it is you okay that is that is you if you think that is possible if you're the if you are a child I can't wait to watch it tomorrow I can't wait to watch tjr's video today I can't wait to become a millionaire in two days that's you if you're watching this saying yeah I'm trying to be a Million Dollar Trader by the end of this year you're a come on guys let's be ambitious let's be slightly over
over ambitious let's not and I didn't even want this [ __ ] ass gum I was just trying to be like you um let's be slightly overly ambitious let's not be [ __ ] Liars okay um I don't want this [ __ ] okay let's be let's be smart about this all right and under understand that this will take time okay the money's not going to happen in one day but again think about what we've said previously we are here to learn the skill initially the money will come and that is very very difficult for
Traders to understand especially new Traders or Traders people learning how to trade they want money first and that's it they don't they don't even think about the skill they're just like me want money give give it okay [ __ ] you won't get it okay you're not you're not going to get that money because you could give a [ __ ] about learning the skill all you want is the [ __ ] money why don't you dedicate instead of dedicating your life to I want to make money dedicate this [ __ ] to I want
to actually learn how the [ __ ] these charts move because once you understand that money is [ __ ] Limitless if you know where a chart is going to go that literally is is a is literally showing you where the economy is going in terms of like the S P 500 or literally the dxy if you can read that chart you have Insider information and that it that in itself is an infinite money glitch and that's what you have to understand it's the skill that's the glitch it I don't know I don't know what
you think I don't know what you think you know your [ __ ] ass over leverage [ __ ] trades are gonna do they won't do [ __ ] you're you're banking you're you're over leveraging and over trading Banking and hoping that you can get one trade to hit one trade to get you out of the fat ass hole that you've been in news flash buddy you're digging it [ __ ] deeper with every single one of those that you take because guess what I was there too and I went to bro I was in
so much [ __ ] debt I was in so much debt because of that [ __ ] it was terrible I was literally indebted to friends that is never a fun thing and Shout out those people for not literally like beating my ass over the money because it took me a while to get it back to them um so yeah don't fall into the stupid ass trap of thinking you're going to get rich quick and risking a lot this is a risk on game and there's no point in risk putting risk on when you don't
when you don't even know how to do this so this is very important that we're getting this out the way early on because [ __ ] man uh you guys would have been [ __ ] you guys would have been like perfect I know how to trade let's put a thousand on this [ __ ] and it's like all right I failed you right so before we even teach you guys when to enter a trade let's understand what we're entering with and why we want to do so okay so hopefully you guys understood that from
the video and we have a nice little dildo um here for me to speak into now so maybe the audio is clear maybe and is the video clear uh I didn't do a face cam but I tried like different settings I don't know hopefully it worked out if not I'm sorry um but anyways I'll see you guys tomorrow peace out I want to eat your ass
