Risk Management in Ziggs

Risk management is more important than any strategy or indicator. Even good signals can be ruined without risk control, and the opposite is also true — careful risk helps you survive losing streaks and stay in the market.

Working Balance and Risk per Trade

Ziggs strategy signals already include position size calculations for 1% and 5% risk per trade.

• 1% risk — baseline, more conservative option;
• 5% risk — aggressive mode, not suitable for everyone.

We recommend allocating a separate working balance specifically for trading Ziggs strategies and not mixing it with other funds. Example:

• $100 — working balance for trading;
• $50 — reserve that is not used in trades and helps you ride out drawdowns with less stress.

Start with a small amount, see how the strategy behaves in practice, and only then gradually increase your working balance.

ATR Single vs. ATR Two Target

In all strategies, stops and targets are calculated using ATR, but risk is managed differently:

• ATR Single
  One take-profit (TP). The entire position is closed when the target is reached or by stop-loss. Management is simple: one entry — one exit.
• ATR Two Target
  Two take-profits:
  • at the first target, 50% of the position is closed and the stop on the remaining part is moved to breakeven;
  • the second target is the final exit for the remaining 50%.
  This approach partially locks in profit at the first target and reduces risk once it has been reached.

With the same percentage risk per trade, the way drawdowns feel can differ between these two types: ATR Two Target usually produces more partial profit-taking, while ATR Single has a more straightforward equity curve.

Key Rules

• Choose a fixed risk per trade (1% or less if you’re a beginner) and stick to it.
• Do not increase risk after a losing streak in an attempt to “win it back”.
• Do not go above the position size indicated in the signal for your chosen risk level.
• Do not trade with money you may need in the near future outside of the market.

Ziggs signals are a tool. How comfortably you get through winning and losing streaks depends on the risk percentage you choose and your discipline in following it.