Risk Controls
Hard limits that hold, even when your strategy misfires
The Kingsley Practice risk module runs as an independent process — a strategy bug cannot override your loss floors or position caps.
Why the risk module is architecturally separate
In most bot platforms the risk logic sits inside the same process as the strategy engine. A coding error in the strategy can inadvertently disable or bypass risk checks. Kingsley Practice separates the two: your strategy engine sends proposed orders to the risk module via an internal message queue. The risk module evaluates each order against your configured thresholds — daily loss limit, maximum open positions, position size as percentage of capital, and maximum consecutive loss count — and either approves, modifies, or blocks the order before it reaches the broker. The strategy engine has no ability to override a block decision.
Risk parameters you configure
Every threshold is set by you and visible on your azure-trust dashboard in real time.
Daily loss ceiling
Set an absolute RON amount or a percentage of account equity as your daily loss ceiling. When the ceiling is hit, the bot stops placing new orders for the remainder of the session and sends you a push notification.
Position sizing limits
Define the maximum position size per instrument as a fixed lot count or as a percentage of current account equity. The risk module recalculates the equity baseline at session open each day.
Consecutive loss circuit breaker
After N consecutive losing trades — a number you set — the bot pauses and requires manual confirmation before placing the next order. This forces a review moment when conditions may have shifted.
Real-time threshold alerts
Every threshold has a configurable warning level (e.g. 80% of daily ceiling). You receive an alert at the warning level and again at the hard limit, giving you time to intervene.
What risk controls cannot do
Risk controls operate on order flow — they cannot prevent losses that occur inside an open position due to sudden market gaps, exchange outages, or extreme liquidity events. A hard daily loss ceiling of 500 lei means the bot will not open new orders beyond that point; it does not guarantee that an existing open position cannot lose more during a volatile session. We document this distinction clearly in the onboarding materials, and we recommend that all users also maintain broker-level stop orders as a secondary protection layer independent of our platform.
Configure your risk parameters before your first live run
Talk to a Kingsley Practice engineer about the right thresholds for your strategy's typical drawdown profile.
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