The commodity risk plan on one page

Eight lessons produced eight numbers and rules. One page holds them all, and the page is the deliverable.

The commodity risk plan

• Risk per trade: a fixed fraction of the account, in money. Written once, renegotiated never - lesson 1.
• Stop distance: from the instrument's measured range, times a stated multiplier. Never from round numbers or spliced-chart levels - lesson 3.
• Size: budget divided by the stop's per-contract cost, floored. Zero is an accepted possible answer - lesson 2.
• Events: the fixture list for every held product, and the standing choice - flat through releases, or gap-sized through them, in writing - lessons 4 and 5.
• Leverage: effective ratio times daily range checked at entry; the ordinary day must not move a survival-relevant fraction of the account - lesson 6.
• Clusters: budgets assigned to energy, metals and grains as groups; correlated tickets share one allowance - lesson 7.
• The line never crossed: no position meets a margin call. If equity approaches the call level, the sizing was wrong and the position shrinks - lesson 8.

What is deliberately absent

Nothing on this page predicts a price. No view, no target, no conviction scale. Risk management is the part of trading that works identically whether the idea is brilliant or wrong - it is the machinery that keeps the account alive long enough for the ideas to matter. The FX and indices tracks each ended their risk modules on this same sentence, and it survives a third asset class unchanged.

Where the track goes next

Module 5 turns from defence to analysis - what commodity fundamentals actually consist of, now that every position they might suggest arrives pre-sized, pre-stopped and scheduled around the calendar. The plan on this page is the licence for everything that follows.