Technical Analysis: Risk Management
Interactive

Technical Analysis: Risk Management

Intuition Publishing
Updated Sep 25, 2020

Using technical analysis techniques is especially important in risk management as these methods can help market participants to identify optimal profit-taking and stop-loss levels. We discuss the fundamentals of risk management, Value at Risk (VAR), and the Sharpe and Sortino ratios. We then explore position sizing and the Kelly criterion, before briefly outlining some best practice trading rules.