How many trades should I have open at once?

Maximum 3 trades for day traders and 5 for swing traders. More important than the number is the correlation — 3 trades on EUR/USD, GBP/USD, and EUR/GBP is essentially one trade because they are highly correlated.

What is correlation risk?

Correlation risk occurs when multiple open trades move in the same direction because the underlying assets are correlated. If you are long EUR/USD and long GBP/USD and the dollar strengthens both trades lose simultaneously doubling your actual risk.

Advanced Module 4: Execution

Managing Multiple Positions: Portfolio-Level Risk Control

Learn to manage multiple simultaneous trades. Understand correlation risk, maximum exposure rules, and how to diversify across assets and timeframes.

Managing Multiple Positions

Learn to manage multiple simultaneous trades. Understand correlation risk, maximum exposure rules, and how to diversify across assets and timeframes.

Key Takeaways

Practice these concepts on historical charts using TradingView Replay mode before applying live. Quantum Algo automates detection of the patterns discussed here.

Quiz: Test Your Knowledge

Answer these questions to check your understanding.

1. 3 trades on correlated pairs equals:

2. Maximum simultaneous trades for day traders:

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