Avoiding Common Trading Strategy Mistakes 🚫
Even the best trading strategies can fail if common pitfalls aren't avoided. One major mistake is emotional trading. Letting fear (FUD) or greed (FOMO) dictate your buys and sells often leads to impulsive decisions and heavy losses. Stick to your plan, not your feelings.
Another critical error is poor risk management. Trading without a defined stop-loss or over-leveraging your positions can wipe out your capital in a single volatile move. Always protect your downside first.
Overtrading is also a trap. Chasing every small market fluctuation can lead to increased fees and mental fatigue, eroding your profits. Patience is a virtue in trading. Finally, neglecting to review and adapt your strategy based on past performance means you're not learning. Learn from every trade, win or lose.