IC Markets
Gold Risk Management
3:37 · 8 chapters · gold trading series, part 2 of 5
What you'll learn
How to size a gold trade with one formula, where to place the stop using the ATR and the chart, how to handle news days, and what leverage really changes.
Go further with our gold trading guide, size a trade with the free gold lot size calculator, or see these ideas on today's chart in our daily gold analysis.
- Key point 1
- Lots = risk $ ÷ (stop $ × 100)
- Key point 2
- $5,000 account, 1% risk, $5 stop = 0.10 lots
- Key point 3
- Stop below the swing low plus a buffer, never wider
- Key point 4
- CPI, jobs and Fed days can cause slippage
- Key point 5
- Leverage lowers the deposit, not the risk; UK and EU retail limit on gold is 20:1
Contract facts from exchange and regulator rules; every price and account size in the video is an example. Education, not financial advice.
The rest of the gold series
The video is presented by an animated host with a computer-generated voice; the research and checks are by the FX Recap team. Risk warning: forex and CFD trading carries a high risk of losing money because of leverage, and most retail accounts lose money. This is education and review, not financial advice. FX Recap may earn a commission from some broker links; see our affiliate disclosure.