#TradingMistakes101 Here are some common trading mistakes to watch out for:

*General Trading Mistakes*

- *Changing Your Strategy Too Often*: Don't switch strategies after a few losing trades. Stick to your approach and let it play out.

- *Not Expecting the Unexpected*: Markets can be unpredictable. Have a fixed stop loss in place and be prepared for sudden changes.

- *Not Staying Informed*: Stay up-to-date with relevant news releases to make informed trading decisions.

- *Lack of Planning*: Have a detailed trading plan in place, including strategy, time commitments, and capital investment.

- *Not Analyzing Trades*: Regularly review your trades to identify areas for improvement.

*Risk and Money Management Mistakes*

- *Not Understanding Risk*: Set stop losses based on trade size and take profit distance, not just pip amount.

- *Measuring Performance in Pips*: Evaluate performance based on percentage returns, not pips.

- *Ignoring Correlations*: Be aware of correlations between instruments to avoid increasing risk.

- *Risking Too Much*: Don't risk more than you can afford to lose comfortably.

- *Not Adapting to Changing Markets*: Stay flexible and adjust your strategy as market conditions change.

*Trade Management Mistakes*

- *Not Using a Trading Journal*: Keep a journal to track your trades and identify patterns.

- *Widening Stop Loss Orders*: Avoid widening stop losses when price moves against you.

- *Using Mental Stops*: Use concrete stop loss orders instead of mental stops.

- *Moving Stops Too Close*: Give your trades room to breathe by setting stops at reasonable distances.

*Common Sense Mistakes*

- *Expecting Quick Riches*: Trading is a long-term game. Focus on steady progress, not overnight success.

- *Not Treating Trading Like a Business*: Approach trading with a professional mindset, including testing, analysis, and discipline.

- *Following Random Advice*: Make informed decisions based on your own research and analysis.¹