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What I Learn From Comparing Planned Risk With Actual Risk

Sachin Yadav

Before entering a trade, I calculate the risk based on my stop distance and position size.

After the trade closes, I compare the planned risk with the actual result.

The difference may come from slippage, commissions, delayed execution, or changes I made during the trade.

If my actual losses regularly exceed my expectations, I need to understand why.

Risk management isn't complete when I place the stop. I also need to evaluate how my trades behave in real execution.

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