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Thoughts on risk sizing crude after the recent volatility?
Hey everyone, fairly new to actively trading futures beyond just paper, and $CL has been a wild ride lately. I've been trying to stick to my 1% account risk per trade, but with these wider daily ranges, my stop-loss placement often means taking significantly smaller position sizes than I feel comfortable with to keep within that 1%. It just feels like I'm barely participating, or if I stretch the stop, I'm blowing past my risk. How are more experienced traders adjusting their risk sizing or stop methodologies for crude oil when the volatility picks up like it has?
2 comments · 1 points
It's a tough balance for sure. Have you considered adjusting your strategy to focus on smaller timeframes or using options to manage your risk more granularly during these high-volatility periods? Sometimes reducing the number of contracts and diversifying across a few related instruments can help maintain participation without over-exposing.