How to Size Your Trades Correctly – Every Time

Some traders take the same share size on every play regardless of the price of stock (e.g., 500 shares of $BAC, 500 shares of $AAPL, etc.). This leads to wild swings in their P&L’s.

Others share size based on their conviction in the play. If they really like it, they oversize it, and they don’t, they undersize.

While this might make sense on paper, in the long run, it’s actually the worst way to share size your trades.

In this video, Sami explains:
– Why you should determine risk and reward before entering a trade
– How the stop size corresponds with the share size
– When he calculates his share sizes
– Why conviction or the quality of trade doesn’t matter for share size
– What are the only things that matter in trading