#TradingMistakes101 🚫 – For Beginners
1. 🤑 Trading Without a Plan
Jumping into trades without a clear strategy is like gambling. Always define your entry, exit, and risk tolerance before entering a trade.
2. 😬 Letting Emotions Rule
Fear and greed are dangerous. Emotional decisions lead to overtrading, panic selling, or holding losers too long.
3. 📈 Chasing the Hype
Buying into a pump (or FOMO-ing in) after a stock has already surged can leave you holding the bag.
4. 🛑 Ignoring Risk Management
Never risk more than 1–2% of your trading capital on a single trade. Use stop-losses. Protect your capital.
5. 📚 Not Learning the Basics
If you don’t understand terms like “support,” “resistance,” or “volume,” you’re not ready to trade. Study first, trade later.
6. ⌛ Overtrading
Too many trades = high fees + more mistakes. Quality over quantity.
7. 💬 Blindly Following "Gurus"
Trusting Twitter, Reddit, or YouTube personalities instead of doing your own research is risky. Learn to analyze independently.
8. 📉 Holding Losers, Selling Winners
New traders often cut winners short and let losers run, hoping they’ll bounce back. Do the opposite.
9. 🧪 No Practice (Paper Trading)
Start with a demo account or paper trade first to test your strategies without losing real money.
10. 🕒 Impatience
Trading success doesn’t happen overnight. Be patient, consistent, and keep learning.