Many traders lose for common reasons, especially beginners. Here are the main reasons:

1. Lack of knowledge and experience

Some enter the market without sufficient understanding of technical or fundamental analysis, and do not know how markets operate.

2. Greed and fear

Emotions play a significant role, for example:

Greed leads the trader to hold onto a trade for too long.

Fear drives them to close a trade quickly at a loss or hesitate in making a decision.

3. Lack of a trading plan

Some trade randomly without a clear plan, or without rules for risk management.

4. High leverage

It can amplify profits, but it also quickly amplifies losses, especially with sudden market movements.

5. Neglecting capital management

Such as entering a trade with all capital or risking a high percentage of it in one trade.

6. Revenge trading

After a loss, some traders try to "recover" their loss quickly, leading to further losses.

7. Overconfidence or being influenced by rumors

Either the trader trusts their opinion too much or follows a rumor without verification.

If you are interested in being a successful trader, the first step is to learn well, then build a plan and strictly commit to risk management. If you found this helpful, please like 👍💰