Take Profit
An order that automatically closes a position once it reaches a chosen profit target, banking the gain without needing to watch the market. The mirror image of a stop-loss.
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Portfolio Risk: Exposure, Scenario Losses and Model Limits
Calculate how holdings combine into portfolio losses, uncover overlapping exposures and distinguish volatility estimates from liquidity and funding risk.
Position Sizing
The most important and most ignored decision in trading: how much to commit to a position. The percent-risk rule, the position-size formula that turns a stop into a share count, volatility-based sizing, and why how much you risk matters far more than what you buy.
Risk/Reward & R-Multiples
The framework that ties wins, losses and probability into a single judgement of whether a strategy makes money. The risk/reward ratio, thinking in R-multiples, the expectancy formula, and why a strategy that loses more often than it wins can still be highly profitable.
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