Risk management tools in Forex help traders protect their capital and manage potential losses. Key tools include: 1. Stop-Loss Orders: Automatically close a trade when the price reaches a predefined level, limiting losses. 2. Take-Profit Orders: Lock in profits when the price reaches a set target. 3. Position Sizing: Adjust the amount of capital allocated to each trade to manage risk exposure. 4. Risk-to-Reward Ratio: Ensures potential profits outweigh risks, typically targeting a 2:1 ratio. 5. Trailing Stops: Move with the market price to lock in profits while limiting downside risk.