Risk management basics

Position sizing, daily loss limits, and when to pause — the non-negotiables.

Last updated Jul 28, 2026

Stratovex cares more about process than highlights. Use these guardrails before size becomes a problem — education first, ego second.

Non-negotiables

  1. Define max risk per trade before you enter — if you can’t name the number, you’re not ready.

  2. Set a daily loss limit before the session starts — hit it, you’re done for the day.

  3. Journal winners and losers the same day — process beats selective memory.

  4. No revenge trading after a stop-out — pause beats doubling down.

Example Stratovex daily risk card with max risk, daily loss limit, and pause rule
Daily risk card (demo) — write your numbers before the session.

Position sizing checklist

  1. Know your account size (or prop drawdown rules) before you calculate size.

  2. Pick a risk % per idea you can survive being wrong several times in a row.

  3. Size from stop distance — don’t reverse-engineer size to “make the trade feel big.”

  4. If the math needs a bigger size than your plan allows, skip the trade.

When to pause

  • You hit the daily loss limit

  • You broke a rule (moved stop, added size emotionally, chased)

  • You’re trading to “get it back” instead of following the plan

  • You’re unsure about sizing mid-session — step away and ask in education channels later

What we will never promise

  • Guaranteed profits

  • “Pass your prop challenge” outcomes

  • Personalized investment advice

Still stuck?

If you’re unsure about sizing, ask in education channels — not in the middle of a live trade. Process is the edge we talk about; outcomes are never guaranteed.