Risk Management

Automated trading is a powerful tool, but it essentially gives a machine access to your bank account. That's why Risk Management is the absolute foundation of the TTMT platform.

We provide multiple layers of safety to ensure your account survives and grows.

Position Sizing

How much should you buy? TTMT calculates this automatically for every trade.

1. Fixed Lot Size (Beginner)

You specify a static volume (e.g., 0.01 lots) for every trade, regardless of the Stop Loss distance.

• Pros: Simple, predictable.
• Cons: Risk varies wildly. A trade with a 100 pip SL risks 10x more money than a trade with a 10 pip SL.

2. Percentage Risk (Recommended)

You specify a percentage of your account balance to risk per trade (e.g., 1%).

• Calculation: (Balance * Risk%) / (SL Distance * Pip Value)
• Result: Whether the SL is 10 pips or 100 pips, if the trade hits Stop Loss, you lose exactly 1% of your account.
• Pros: Consistent growth, professional money management.

3. Fixed USD Risk

You specify a fixed dollar amount to risk per trade (e.g., $50).

• Result: Your maximum loss per trade is capped at exactly $50, regardless of SL distance.
• Pros: Perfect for volatile instruments where you want hard dollar limits.

Per-Asset Risk Overrides

Different instruments have different volatility profiles. TTMT allows you to set custom risk parameters per asset class:

• FOREX_MAJOR - Stable pairs like EUR/USD, GBP/USD
• METALS - Gold (XAUUSD), Silver (XAGUSD)
• INDICES - NAS100, US30, SPX500
• CRYPTO - BTCUSD, ETHUSD

For example, you might use 2% risk on forex but only $50 fixed risk on volatile indices.

TIP

See Trading Settings → Per-Asset Risk Overrides for detailed configuration options.

Safety Guards

Max Open Positions

Limit the total number of simultaneous trades to prevent over-exposure.

• Example: Set Max Positions to 3. If a 4th signal arrives, it is ignored until one of the existing trades closes.

Invalid Stop Loss Protection

If a signal arrives without a Stop Loss, TTMT considers it "Infinite Risk".

• Action: TTMT automatically applies a Default Emergency SL (default: 600 pips) to protect your account. This wide stop loss is intentionally conservative for emergency situations. You can configure this value in Settings → Risk Management.

Golden Rule:

Never risk more than you can afford to lose. We recommend risking max 1-2% per trade.