#TradingMistakes101

Below are the most common mistakes, especially easy to encounter for crypto traders:

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🚨 1. Poor Risk Management

• Overleveraged trading, putting the entire account into one order.

• Not setting a stop loss or setting it too wide.

• Using high leverage without a backup plan.

Consequences: Account blown after just a few wrong trades, heavy mindset, easy to revenge trade.

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😵 2. Trading based on emotions, not following a plan

• FOMO at a time when the price has surged.

• FUD selling during a market downturn.

• Trading out of boredom, without clear signals.

Consequences: Low win rate, little profit – many losses, prolonged stress.

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📉 3. Not understanding market trends

• Shorting when the price is in a clear uptrend (against the trend).

• Longing in a downtrend without reversal signals.

• Not analyzing multiple time frames.

Consequences: Continuously getting stopped out despite “looking good” signals.

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📊 4. Overtrading

• Continuously entering orders, not selectively choosing opportunities.

• Jumping in every time the price fluctuates slightly.

• Incurring trading fees + losing psychological control.

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❌ 5. Not backtesting and journaling trades

• Not checking how effective the used strategy was.

• Not keeping a trading journal leads to repeating mistakes.

• Not learning from each winning/losing trade.

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🎯 6. No clear exit strategy

• Not knowing when to take profits → greed → losing everything.

• Not preparing for the scenario of “price going against you”.

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🧮 7. Following others, lacking independent opinions

• Copying trades from others on Twitter/YouTube/Telegram without understanding the reasons.

• Believing in unverified “tips” or “insider info”.