#TradingMistakes101 Trading Mistake

One of the most common mistakes in trading is trading based on emotions. Many traders, especially beginners, can easily get caught up in the excitement of winning or the fear of losing. This leads them to make irrational decisions, resulting in greater losses. Another mistake is failing to adhere to the established trading plan, such as entering a trade too early, too late, or not setting a stop-loss. Additionally, overtrading – trading too much in a short period – is also a serious error, often stemming from the desire to recover after a loss. To avoid these mistakes, traders need to cultivate discipline, manage their psychology, and continuously learn. Keeping a trading journal also helps traders reflect and improve their skills over time.