The 5 Biggest Mistakes That Wipe Out 90% of Traders (And How to Avoid Them)

🚨 1. Trading Without a Plan

Mistake: Entering trades based on gut feelings or hype

Result: Emotional decisions → inconsistent results

Fix: Use a written strategy with strict entry/exit rules

💸 2. No Risk Management

Mistake: Putting >5% of capital on one trade

Result: One bad trade destroys weeks of gains

Fix: Never risk >1-2% per trade + always use stop-losses

📉 3. Averaging Down on Losing Trades

Mistake: "It'll bounce back!" → doubling down on failures

Result: -50% losses become -90% disasters

Fix: Cut losses at 5-8% and move on

🔍 4. Chasing Performance

Mistake: FOMO-ing into pumps (buying tops)

Result: Becoming "exit liquidity" for smart money

Fix: Wait for pullbacks to support levels

😵 5. Overtrading

Mistake: Forcing trades to "make up" for losses

Result: Fees + stress erode profits

Fix: Quality > quantity – 3 great trades/week beats 30 mediocre ones

🔥 Bonus Killer: Ignoring Market Context

Trading altcoins during BTC crashes

Using leverage before Fed meetings

Holding bags through bear markets

Pro Tip: The best traders are masters of doing nothing 80% of the time.

Which mistake cost YOU the most? 👇