#TradingMistakes101 One of the biggest mistakes traders make is not testing their algorithm on past data before using it in live markets. This is called back-testing, and it helps you understand how your strategy would have performed in different market conditions.

For Example; imagine you create a simple strategy where you buy Nifty 50 when it crosses above the 50-day moving average and sell when it goes below. Without back-testing, you might assume it’s profitable. But if you had tested it on historical data, you might find that it actually loses money during sideways markets.