#AITradingAffectsForex To avoid losses when using an AI trading bot, you need to focus on risk management, strategy optimization, and continuous monitoring. Here are the key steps: 1. Set Strong Risk Management Rules Stop-Loss & Take-Profit: Ensure your bot has stop-loss and take-profit levels to limit losses and secure profits. Position Sizing: Use AI to calculate lot sizes based on risk per trade (e.g., 1-2% of your capital). Drawdown Limits: Set a maximum daily/weekly loss to stop trading if losses exceed a threshold. 2. Optimize AI Strategy Backtest with Realistic Data: Test your bot on historical and live market conditions to fine-tune strategies. Adapt to Market Conditions: Use AI models that can detect trending vs. ranging markets and adjust trading logic. Avoid Overfitting: Ensure your bot is not optimized only for past data but can adapt to future trends.