#AITradingAffectsForex Risk mitigation in Forex trading involves employing strategies to minimize potential losses. This includes setting stop-loss orders to limit downside risk, diversifying currency holdings to reduce exposure to single-currency volatility, and using hedging techniques to offset potential losses with opposing positions. AI enhances this by providing real-time risk assessment, identifying potential market anomalies that could lead to losses, and automating risk management processes like adjusting position sizes based on changing market conditions. Ultimately, effective risk mitigation aims to protect capital and ensure the longevity of a trading strategy.