#TradingMistakes101 #TradingMistakes101 โ Here are some common pitfalls that traders (especially beginners) should avoid:
๐ป 1. Lack of a Trading Plan
Trading without a defined plan is like sailing without a map.
Always outline your entry, exit, risk management, and strategy.
๐ 2. Overtrading
Taking too many trades can lead to burnout and losses.
Quality > Quantity.
โ๏ธ 3. Poor Risk Management
Never risk more than 1-2% of your account per trade.
Always use stop-loss orders.
๐ค 4. Letting Emotions Drive Decisions
Greed, fear, and FOMO (fear of missing out) ruin good strategies.
Stay disciplined and stick to your plan.
๐ 5. Revenge Trading
Trying to "win back" after a loss usually leads to worse losses.
Take a break and reassess instead.
๐ง 6. Not Learning from Mistakes
Keep a trading journal to track performance and behavior.
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