Three ideas do most of the work in risk management: size every position so a loss costs a fixed, small share of the account; understand why drawdowns are asymmetric; and recognise when several positions are really one. This course covers all three with the actual arithmetic.
intermediate · 3 lessons · 35m
What you'll cover
Position Sizing From First PrinciplesThe one formula that matters more than every indicator combined.This lesson contains the single most useful piece of arithmetic in retail trading. By the end you will be able to size any trade so that being wrong costs exactly what you decided…
The Arithmetic of DrawdownWhy a 50% loss needs a 100% gain, and what that means for risk per trade.Losses and gains are not symmetric, and the asymmetry gets worse the deeper you go. This lesson shows you the numbers, because they are the strongest argument for small risk per…
Correlation and Hidden ConcentrationWhen five positions are really one position, five times over.You size each trade carefully at 1% and open five of them. You believe you are risking 5%. Depending on what you bought, you might be risking 5% — or you might effectively be…
Who this course is for
Sizing and Survival is a intermediate course in the Risk Management track of the FX Terminal Academy. It assumes you already know what a currency pair is and how an order is placed. There are 3 lessons, about 35m of reading in total.
Every lesson is free to read, and no account is needed to read one. Signing in only records which lessons you have finished, keeps your place across devices and issues the completion certificate at the end.
How to work through it
Read the lessons in the order they are listed: each one builds on the vocabulary and the ideas of the one before it. Each lesson ends with a short quiz that checks you took the point rather than the wording, and links straight into the FX Terminal screen that puts it to work — so the idea is tested against live market data instead of staying on the page.
You can stop between lessons and come back; nothing here expires, and the course quiz at the end covers the whole set rather than the last thing you read.
Common questions
Is Sizing and Survival free?
Yes. Every lesson is free to read in full. There is no paywall, no trial and no card required, and the live FX Terminal screens each lesson links to are free as well.
Do I need any trading experience to start?
Some. It takes for granted that you know what a currency pair is, what a pip is and how an order reaches the market — the beginner courses in the Academy cover all three.
How long does the course take?
3 lessons, roughly 35m of reading. It is self-paced — there is no schedule and no expiry, so stopping between lessons costs you nothing.
Do I need an account?
Not to read. An account is free and only exists to remember which lessons you have finished, carry that across devices, and issue the certificate when you complete the course.
Is there a quiz or a certificate?
Each lesson ends with a short quiz, and the course has its own assessment covering the whole set. Completing it while signed in issues a certificate you can share.
Will this course tell me what to trade?
No. The Academy teaches how the market works and how to read the data; it does not issue signals or recommendations. Nothing on FX Terminal is investment advice.