Why Do Traders Lose in Futures Trading?

Lack of Knowledge

Many traders enter futures markets without a solid understanding of technical analysis, market trends, or how order books function.

Poor Trading Strategy

Relying on hype, social media tips, or intuition instead of a well-tested strategy often leads to failure.

Market Manipulation by Whales

Large players can manipulate prices, causing stop-loss hunts and forced liquidations before reversing the trend.

Overtrading

Excessive trading without patience or discipline increases the likelihood of losses over time.

Weak Risk Management

Failing to set stop-loss orders, using improper position sizing, or risking too much capital on a single trade can result in significant losses.