1. Market Risk
Prices can change rapidly due to volatility, news, liquidity, gaps, order flow and other factors.
2. Derivatives and Leverage
Options, futures and leveraged products may magnify both gains and losses and can result in significant losses or margin calls.
3. Liquidity and Slippage
Expected prices may not be available when an order reaches the market. Low liquidity, wide spreads or fast markets can cause slippage, partial fills or non-execution.
4. Technology Risk
Trading technology depends on networks, devices, APIs, brokers, exchanges, market-data feeds, authentication and software. Failures, delays, outages or stale data may affect outcomes.
5. Algorithmic / Model Risk
Automated or rule-based systems can behave differently from expectations in changing market conditions. Models can be wrong, delayed, incomplete or affected by unusual data.
6. Execution Risk
Orders may be rejected, delayed, duplicated, partially executed or executed at unexpected prices because of broker, exchange, margin, regulatory, network or system conditions.
7. Historical and Backtested Results
Past performance, simulations and backtests do not guarantee future performance and may not reflect live liquidity, latency, slippage, fees or regime changes.