The truth about position sizing in trading | Talking Shop podcast

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Luke Moore and Peter Ward are joined by special guest Axel Rudolph, IG's Senior Technical Analyst and former chair of the Society of Technical Analysts. They dive deep into what may be the most overlooked yet critical aspect of successful trading: position sizing. Discover why even experienced traders can blow up their accounts, how to adapt your strategy during volatile markets, and practical approaches to risk management that could increase your staying power. 

Timestamps 

00:00 Intro 

02:37 Core theme: "It all boils down to risk and position sizing" 

05:54 Why position sizing is overlooked: "Human nature... it all comes down to math" 

10:59 Definition of risk per trade and percentage-based approach 

21:53 Using ATR (Average True Range) to adjust sizing based on volatility 

28:54 Warning against removing stops during volatile periods 

36:40 Case study of account growth and losses due to poor sizing 

44:52 Final takeaway: "Reduce, reduce, reduce" 

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Your capital may be at risk.

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