Gap risk
Risk & psychologyThe risk that a security opens far beyond your stop level, with no trading in between.
In plain terms
The reason position sizing, not the stop-loss, is your real risk control.
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
Showing 1 term
The risk that a security opens far beyond your stop level, with no trading in between.
The reason position sizing, not the stop-loss, is your real risk control.