Monday, July 13, 2015

Active Risk/Position Management - Trading Glossary

Active Risk/Position Management is achieved through adding and scaling out of a trading position throughout a move. The goal is to eliminate position risk by taking profit on part of a position while the market moves in the desired direction of the trade. By capturing profits, the core position is protected against the market failing to reach the desired target area and stopped out at a loss.


This is a trading glossary term series of blog posts. Check out all the terms we post with the Trading Glossary label.