Three deadly mistakes in trading

Analytical vision for beginners

In the trading world, success is not measured by the number of trades you open, but by your ability to stay in the market and manage risks wisely. Here are three common misconceptions among beginner traders and why they lead to inevitable losses:

1. The illusion of "capital recovery"

- False belief: "I will just wait a little, and prices will return to what they were."

- Reality: Markets do not adhere to your expectations, and the opposite trend may continue for months. Holding onto a losing trade without a clear exit plan often leads to account zeroing.

- Solution: Using a Stop Loss is a necessary defensive tool, not a sign of weakness. Accepting a small loss is better than waiting for the unknown.

2. Overconfidence in instant predictions

- False belief: "This trade is guaranteed!"

- Reality: There is no guaranteed trade in the market. Even the strongest analyses remain probabilities. Making decisions based on emotion or haste can wipe out capital within minutes.

- Solution: Create a Trading Plan before entering the market, specifying entry point, profit target, and stop loss. Be prepared for the possibility of trade failure.

3. Emotional drift in repeated buying

- False belief: "If the price goes down, I will buy more (Averaging Down)"

- Reality: This strategy can be deadly if it is not part of a strict capital management plan. Repeated buying in a down market multiplies risks, not opportunities.

- Solution: Do not add to a losing trade unless you have a proven strategy, fully understand the reasons for the decline, and keep a large portion of your capital out of the trade.

Professional trader's style

- Does not predict the market, but responds to it.

- Only uses a small percentage (5% or less) of capital in each trade.

- Stays out of the market most of the time, and only enters when a high-quality opportunity arises.

- Loses naturally, but knows when and how to stop the loss.

- Does not seek "quick riches" but aims for "survival and sustainability."

✍️ In the futures or cryptocurrency market, survival comes first, then profit. The market does not reward the most enthusiastic or optimistic, but rewards those who control risk and know when to stand aside and when to enter. Success does not come from luck, but from discipline.

- Remember that the money in your account is not profit until you secure it; otherwise, it becomes part of others' profits.