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How to Apply Stop-Losses in Options Trades

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One of Warren Buffet’s most famous sayings regarding successful investing is, “Rule No. 1: Never lose money. Rule No. 2: Never forget rule No. 1.”

That means risk management needs to be the priority of every position or investment.  The two main tools traders use to limit losses are appropriate position-sizing and designating specific levels at which a trade will be closed.  

When trading stock… Continue reading at StockNews.com

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