Concept family
Risk, Sizing & Exits
Position sizing, the stop and exit taxonomies, trade analytics, and execution.
Trade entries get the attention, but sizing and exits shape what an idea is actually worth. This part of the library covers the machinery of risk management: how much to put on, where the trade is proven wrong, and how to get out, whether through fixed targets, scaling out in pieces, or trailing methods that protect open profit while a trend runs.
Measurement and execution tie these choices together: the R-multiple framework expresses every outcome in units of initial risk, so sizing, stop distance, and exit style can be compared on equal footing, and order mechanics turn the plan into instructions a broker can execute. Not everything here is settled; averaging down remains genuinely contested, defensible in some mean-reversion frameworks and treated as a cardinal error in many risk-first ones.
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Trailing Method Taxonomy
A comparative survey of trailing-stop techniques and the balance each strikes between protecting open profit and giving a trend room to breathe.
11 indicators
Volatility Stop
Scales stop distance to current volatility, most often as an ATR multiple, so placement adapts to the instrument and conditions rather than staying fixed.
1 indicators
R-multiple Framework
Expresses every trade outcome as a multiple of the risk taken at entry, making results comparable across instruments, sizes, and strategies.
3 indicators
Position sizing
Decides how much capital each trade gets, from fixed-fractional risk and volatility-targeted sizing to pyramiding, dollar-cost averaging, and the debated practice of averaging down.
Stop taxonomy
Catalogs the ways to define where a trade is wrong, whether at a structure level, at a volatility-scaled distance, at a fixed amount, or placed with an eye on where resting stops tend to pool.
Trailing systems
Compares methods for ratcheting a stop behind a trade as it moves favorably, so the exit level improves as the trend develops.
Exit taxonomy
Covers how trades are wound down, from profit-target styles and scaling out in pieces to stop-and-reverse systems that flip direction instead of going flat.
Trade & account analytics
Provides the scorekeeping, using R-multiples to normalize results and loss-control rules to contain the damage from losing streaks.
Orders & execution
Translates the plan into broker instructions, from basic order types to combined constructs like brackets and one-cancels-the-other groups.