Who this is for — Anyone who respects the daily limit but accumulates many small consecutive losses without stopping to recalibrate method and execution.
In plain terms — Weekly risk is the "long brake": it stops five mediocre days from consuming too much capital before a real review.
Bronze prerequisite — Before this lesson: trading-journal, discipline, capital, percentage-risk. See bronze-path.
Why it matters beyond the daily stop
The daily limit protects from intraday excess; the weekly limit forces a mandatory pause to analyse context, errors, and setup quality.
Write it together with max-daily-risk in the trading-plan.
Example — Weekly threshold −4%. On Friday you hit the limit: stop trading and run a weekly-review before resuming Monday with reduced size.
Card
- What it is: maximum loss allowed across the full week.
- When to use it: as a circuit breaker in the risk plan.
- Typical mistake: ignoring it because "the next trade will recover".
Silver path — Module: Trading plan. Part of silver-path.
Gold path deep dive
On Gold, the weekly stop links to max-drawdown, stress-test, and multi-strategy allocation: a negative week may signal an unfavourable regime, not just variance — consider strategy-suspension.
Gold path — Module: Advanced risk control. Part of gold-path.