In the world of trading, the adage "don't put all your eggs in one basket" holds substantial truth. Risk management is the linchpin of long-term trading success. It involves identifying, assessing, and prioritizing risks, followed by applying resources to minimize the probability and impact of unfortunate events.
Diverse Portfolio: Diversifying your investments across various asset classes or sectors can mitigate the risks associated with market volatility. Instead of investing heavily in one area, spread your funds to protect against significant losses.
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