Course 82: Position Sizing Science

ATR-based stops: Place stops at 2\u20133\u00d7 ATR to avoid noise-induced exits.
Inverse scaling: When ATR doubles, position size halves \u2014 dollar risk stays constant.
Correlation adjustment: If two positions are 0.8 correlated, halve each to avoid double-counting risk.
Regime awareness: Volatility clusters \u2014 high-vol periods persist, so scaling must be dynamic.

COURSE 82 · RISK

Slide 1/0 · 0pts

Aurova is an educational publisher — not a securities exchange, broker-dealer, investment adviser, or money transmitter. We make no recommendations and hold no custody. Educational content only — not financial, legal, or tax advice. Nothing here is an offer to buy or sell any security. Past performance does not guarantee future results.

LIVE

Myra · Teacher