#TradingPsychology Why 75% of Traders Lose Everything: The Startling Math Behind It

While trading may seem like a fast track to wealth, most traders end up losing money. In fact, 75% fail due to poor math, psychology, and lack of preparation.

The Harsh Math of Trading

1. Loss Recovery: A 50% loss requires a 100% gain just to break even. The bigger the loss, the harder it is to bounce back.

2. Fees: Small fees can add up. Spending $500/month on commissions could eat up 60% of a $10,000 account in one year.

3. Leverage: While leverage can increase profits, it also amplifies losses, putting your account in serious danger.

Psychological Traps

Fear leads to exiting trades too early, locking in losses.

Greed causes overtrading or holding onto losing positions too long.

Overconfidence and revenge trading can result in even bigger losses.