10 Trading Mistakes That Will Make You a Loser
Next you will read 10 Trading mistakes to avoid at all costs if you really would like to become a professional trader.
1. Revenge Challenge: Newbie traders after booking loss in a trade, instantly, jump into a new trade out of revenge to cover the losses and end up blowing up their trading account.
2. Jack of Trading Strategies, Master of None: 90% of traders fail because they spend much of their time in learning new strategies instead of mastering a single strategy that meets their temperament.
3. Trades without Stop Loss: Trading without stop loss is the worst trading mistake one can make. The day you swear not to trade without Stop Loss Order, you achieve first trading milestone.
4. No Emotional Control: In trading 80% psychology and only 20% trading knowledge is required to become a successful trader. Never trade what you think market will do instead follow the analysis.
5. Trading Against the Trend: Worst of all trading mistakes is trading against the trend. Traders after finding a clear breakout, instead of placing a trade in the direction, do the reverse.
6. Analysis Paralysis: Traders after having good technical analysis knowledge often become victim of analysis paralysis. They know they are correct but still fear to trade and often miss the opportunities.
7. Quick Rich: Almost all traders come to share market by assuming trading a quick way to become rich. They often take trades in hope with higher risks and quickly blow-up their trading accounts.
8. Greed and FOMO: Due to greed and fear of missing out, traders take risk out of their limits and end up quitting trading. Remember one who follows risk management and position sizing never fails. (Add bag person photo here)
8. Envy: Influencers’ inspiring profit screenshots, triggers envy in traders that if they (influencers) can do this why not they. Such traders never understand that influencers too make losses.
10. Repeat Trading Mistakes: Trading is all about is hit and trail method. In trading everyone including professional traders make mistakes. We are supposed to learn and not to repeat mistakes again.