#TradingMistakes101

#TradingMistakes101 – Common Pitfalls Every Trader Should Avoid

Whether you're a beginner or a seasoned trader, mistakes can be costly. Here's a breakdown of some of the most common trading mistakes to watch out for:

---

🔻 1. Lack of a Trading Plan

Trading without a clear strategy is gambling.

A solid plan should include entry/exit rules, risk management, and goals.

🕰️ 2. Overtrading

Trading too frequently leads to burnout and losses.

Stick to high-probability setups; quality > quantity.

😱 3. Emotional Trading

Letting fear or greed drive decisions (e.g., revenge trading).

Use stop-losses and stick to your plan to reduce emotional influence.

📈 4. Ignoring Risk Management

Never risk more than 1–2% of your capital per trade.

Use stop-losses and position sizing to protect your account.

📉 5. Averaging Down on Losing Trades

Doubling down