Trade Management for Consistency
Consistency in trading is not achieved by finding the perfect setup, but by managing risk, exits, and decisions in the same way every trade. This page explains the professional rules that keep equity curves stable over time.
The core principle
You can have a profitable strategy and still lose money if trade management is inconsistent. Professional traders focus on capital protection first.
Risk is defined before entry
Losses are accepted and limited
Profits are managed, not hoped for
Risk management (non-negotiable)
Without fixed risk rules, consistency is impossible.
Risk per trade
Fixed percentage (0.5%–1%)
Never increase risk to recover losses
Stop-loss placement
Based on invalidation, not emotion
Never move stop further away
Position sizing
Calculated from stop distance
Same risk across instruments
Breakeven
Moving to breakeven is a defensive tool, not a guarantee of profit. Use it only after the trade has proven itself.
After structure or target is reached
Partial profits
Taking partials can reduce psychological pressure, but must be planned before entry.
Predefined levels
Trailing stops
Trailing stops work best in strong trends. In ranges, they often reduce expectancy.
Avoid in choppy markets
Consistency checklist
Ask yourself these questions before every trade.
Is my risk fixed and acceptable?
Is my stop based on invalidation?
Do I know where and how I will manage the trade?
Would I take this trade again tomorrow?