Overview
Trading parameters refer to the settings and rules used to make trades.
Position Size
The amount of money that a trader allocates to a particular trade.
Stop Loss
A predefined price level at which a trade will be automatically closed to limit the loss.
Take Profit
A predefined price level at which a trade will be automatically closed to secure a profit.
Entry Price
The price at which a trader enters a position.
Exit Price
The price at which a trader exits a position.
Leverage
A borrowing method that allows a trader to take larger positions with a smaller amount of capital.
Margin
The amount of money that a trader is required to deposit to open a position.
Risk/Reward Ratio
The ratio between the potential profit and the potential loss of a trade.
Time Frame
The length of time that a trader intends to hold a position.
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