Question Completion Status: QUESTION 1 A general rule of thumb for initial capital is to have. At least two times the amount of the MDD plus the initial margin for stocks. At least ten times the margin required for a single contract for each contracted trade. One-half of the amount of the MDD for stocks, No more than two times the position size for each contract traded. QUESTION 2 A protective stop Should be determined after a position has begun to profit. Should be placed after an occurrence of the maximum draw down that occurred in the testing of the system because the basic market conditions might have changed since the system was designed. Only needs to be used if a trader has not protected against loss of capital through diversification. O Should be placed upon entry and should be inviolate. QUESTION 3 A system has a 50% chance of a loss. The probability of having a run of three losses is O 12.5% 25% 37.5% O 50% QUESTION 4