Sun Tze Money Management
Many of you asked what’s Sun Tze Money Management, here we give you a short summary.
Assume you have US$60,000 to invest in Forex Market. Apply Money Management technique, normally you will trade 2% ie US$1,200 per trade. But here, Sun Tze splits the fund into 3 accounts:
1) US$10,000 (Frequent Trading)
2) US$20,000 (Moderate Trading)
3) US$30,000 (Selective Trading)
Logic here is we do not believe Everyday is Sunday in trading, when we realise we were wrong and regret entering trade 1 in Account 1 and now see a clearer direction, we initiate trade 1 in Account 2. If you regret again for action taken in Account 2 and now see a clearest direction in your life, we start trade 1 in Account 3. To be exact how to execute trades, MJFX Forex created Fibonacci Sun Tze Money Management.
