#TradingStrategyMistakes

7 mistakes to avoid at the beginning of your investing journey.

1. Knowledge is key - lack of fundamental knowledge in economics and investing leads to disaster.

2. Over-investing – violating your own budget; "invest only what you can afford to lose"; do not go into debt for investments, as it is the biggest folly.

3. Emotions – extreme emotions: fear (FUD – fear, uncertainty, and doubt) or euphoria (FOMO – fear of missing out) make one susceptible to manipulation by third parties, experts, and crypto influencers; double maxim: "don’t listen to anyone" or "listen to everyone and make your own decisions"; attachment to a project like a religion; money likes silence and does not like emotions.

4. Lack of time – the need to track the market and respond appropriately; simple rule: if you don’t have time, don’t get involved.

5. Lack of finances – having a sound strategy, but it being too long for the given portfolio; "losses are not defended", but sometimes there are not enough resources to survive a downtrend; by nature, there are always too few resources for investment.

6. Wrong entry timing – the market moves in cycles; incorrect entry timing can destroy a portfolio; it is very hard to hit the bottom and sell at the absolute peak, but certain trends can be observed.

7. Lack of own opinion – polarization between two groups of people: on one side, "experts" who know everything, and on the other, people without their own opinion and decision-making skills; many people rely on the mechanism of psychological release from responsibility; once again, DYOR.