Professional traders do not waste their trading capital, they use it only
when the risk reward profile of a trade setup makes sense and is logical.
we have to take decision at the end of 6 months
when risk reward ratio as per our analysis say it can not give more than 20 % annualized return from there onward and on the other hand some other cheap stock are waiting for us... Even if one stock which we just sold after earlier will become multi baggar does not mean law of probability say us to hold it..
Professional traders do not waste their trading capital, they use it only
when the risk reward profile of a trade setup makes sense and is logical.
Not exact matches
Related: Your Guide to the High -
Risk, High -
Reward World of Investing in Startups
When Fundamental Finance Law Changes Go Into Effect May 16
When employees feel forced to participate or drinking is excessive, the
risks quickly outweigh the
reward.
They taught me the value of a hard day's work, the thrill of
reward that comes with great
risk and the importance of having a loving family and great people behind you to catch you
when you stumble.
Of course,
when weighing the adoption of connected devices, it's important to take into account the
risks and potential
rewards, said John Stewart, senior vice president, chief security and trust officer at Cisco.
In the U.S. market, business leaders count on predictable electoral cycles and domestic peace
when they calculate
risk -
reward ratios.
«Without talking about the
reward component, all that is left is
risk aversion, and you end up scaring people at a time
when investors need to be looking at building income,» he said.
Furthermore, one could be looking to establish new short positions
when the broad market starts bouncing into its new resistance levels, which would thereby create positive
reward to
risk ratios and low -
risk entry points for selling short and / or buying inversely correlated «short» ETFs.
When you investigate the market, you reduce your
risk and increase your potential
reward.
When you have a strong entry method, like price action setups, combined with an understanding of
risk to
reward scenarios you begin to think in probabilities.
Just what makes binary options very appealing is that aside from their straightforward
reward -
risk factors, investors determine
when the trading starts and stops.
When you begin to view each trade setup as just another execution of your trading edge and effectively implement position sizing and
risk to
reward scenarios, you will also be managing your emotions because you know your possible
risk and possible
reward BEFORE you enter the trade, you then set and forget the trade and therefore there is nothing to become emotional about.
But being aware of it, and the potential
risks and
rewards will help you to understand the markets, how they move, and the opportunities that exist, both while your neighbor is asleep and
when he is working his regular job.
This is called
risk to
reward,
when we have our
risk tight and our
reward high, we have a solid trade setup, especially with the signals and momentum in our favor.
Overall, there is no point in taking on heavy capital exposure
when risk is high and the
reward is low.
So I would caution to minimize the
risk, and
when the
reward part works itself out, everybody's really smart and everybody pats themselves on the back, but you should start by minimizing the
risk in this sector.
I generally use a Graham - Dodd approach to valuation of stocks, however, I do make deviations for speculative stocks
when I find favorable
risk /
reward.
But
when the proper technical signals line up, the
reward to
risk ratios are good, and entry points are low -
risk, successful traders take action and aggressively trade in the direction of the dominant market trend.
Among the simplest truths is that market
risk tends to be unusually
rewarding when market valuations are low and interest rates are falling.
Similarly, market
risk tends to be poorly
rewarded when market valuations are rich and interest rates are rising.
Even
when you are copying other investor's trades you still get to assess the
risk versus
reward on that trade before you execute the copy feature.
There is no
reward when there is no
risk!
On March 3, 2009,
when the S&P 500 Index was below 700, NTU explained and documented why U.S. equities were extremely cheap and offered a very attractive
risk /
reward ratio.
Risk arises
when markets go so high that prices imply losses rather than the potential
rewards they should.
Though it feels great to be applauded and accepted by thousands,
when who we are on stage, (or rather online) is not who we are in real life, the
risk of being rejected is lower, but the
reward of ever being truly accepted is diminished.
After all, the company was founded in response to academic research proving that even small cash
rewards triple the effectiveness of weight - loss programs; that people are more effective at losing weight
when their own money is at
risk; and that social dynamics play a large role in the spread of obesity, and will likely play a large role in reversing obesity.
While,
when taking their ownership numbers into consideration, bringing in Sanchez early doors appears a far more profitable
risk vs.
reward strategy than opting for Mkhitaryan who, after 18 months, still remains a wait and see.
Value betting means betting
when you regard the
risk:
reward ration as being heavily in your favor.
He seems a high
risk, high
reward player in the mould of Sanchez
when i've seen him play and his CL performances have been incredible.
So making predictions is a low
risk / high
reward strategy because
when you get one right you can crow about it yourself endlessly.
It's a high -
risk, high -
reward tactic, but
when you've got someone who can drop it into trashcan from 30 yards away, I'll take my chances.
Instead, he gets to be the low -
risk, high -
reward player he was
when he was a superstar.
Here, then, is a
risk to consider
when seeking the
reward of a run taken away.
Value is determined by the
risk:
reward ratio and
when you feel the
reward outweighs the
risk.
When it comes to performance - enhancing drugs, guys will always test the system because the
reward is greater than the
risk.
When there was a bounty of starters on the free agent market — Johnny Cueto, David Price, Zack Greinke, Jeff Samardzija — it looked like the Tigers nabbed the best mix of
risk vs.
reward, paying less for Zimmermann than the Giants paid for Cueto, which meant paying half the price of a... Price.
The Frenchman has a huge decision to make
when picking the team for that game and it looks like a tricky balancing act between
risk and
reward.
These moments are generally low -
risk / high -
reward when the opposition player has a minimal chance to escape the press and the chance of a counter is high.
Stephen Balkam, CEO of the Family Online Safety Institute, identifies the three core elements of
risks, harms and
rewards when it comes to online safety.
«
When you put all of those things together, the
reward was not worth the
risk,» he told about 200 opponents of the project in Long Beach.
Warner took a major
risk by making the November gubernatorial election a referendum on his four years in office and was
rewarded when Lt. Gov. Tim Kaine (D) won a surprisingly strong victory.
When a National Institutes of Health award emphasized «aggressive
risk taking» among its criteria, all nine of the first winners were men; later, terms such as «pioneering» and «high impact» attracted and
rewarded more women.
When we passed the America COMPETES Act, we bolstered basic funding at the Department of Energy's Office of Science, and we created ARPA - E, an innovative program, modeled after the Defense Advanced Research Projects Agency, to encourage the pursuit of high -
risk, high -
reward renewable, clean energy technology development.
In brain imaging studies, the OPFC is highly active
when people deliberate between actions with uncertain
risks and
rewards, and clinical reports describe patients, such as Gage, whose inability to consider long - term consequences can lead to tragic outcomes.
Risk aversion is more than just the tendency to avoid risk; it is the inability to weigh risk and reward and a failure to recognize when prudent risk taking is nee
Risk aversion is more than just the tendency to avoid
risk; it is the inability to weigh risk and reward and a failure to recognize when prudent risk taking is nee
risk; it is the inability to weigh
risk and reward and a failure to recognize when prudent risk taking is nee
risk and
reward and a failure to recognize
when prudent
risk taking is nee
risk taking is needed.
When there are postpartum glitches in the brain's
reward system, women may find their babies less satisfying, which could increase the
risk for impaired mothering.
The rats exposed to alcohol during adolescence were consistently more inclined to take the high
risk / high
reward option, even
when the safer option would have given them more treats overall.
Again, dips certainly will allow you to build your chest, and performing them doesn't automatically mean you'll get injured, but all things considered, the
risk -
reward just isn't worth it, especially
when you already have superior chest exercises in your arsenal anyway.