#TradingMistakes101
1. FOMO (Fear of Missing Out)
• Jumping into a pump too late, buying at the top because “everyone’s getting rich.”
• Fix:
Stick to your entry plan. If you missed the move — wait for a retracement.
2. Revenge Trading
• Trying to win back losses immediately after a bad trade, usually by over-leveraging.
• Fix:
Take a break. Review your mistake. Resume with discipline and a calm mind.
3. Ignoring Risk Management
• Trading too big without stop-loss orders.
• Fix:
Never risk more than 1–3% of your capital per trade. Set stop-loss and take-profit levels before entering.
4. Overtrading
• Making too many trades in a day without a clear setup.
• Fix:
Quality > quantity. Only trade setups that match your strategy.
5. Not Having a Trading Plan
• Entering trades based on emotion, news, or random tips.
• Fix:
Define clear entry, exit, stop-loss, and take-profit levels for every trade. Stick to it.
6. Ignoring Market Conditions
• Trading aggressively during uncertain events (like tariff news, FOMC meetings, SEC rulings).
• Fix:
Stay informed about upcoming events. Scale down risk or avoid trading during high-volatility news releases.
7. Using Excessive Leverage
• 10x, 50x, 100x — sure, the gains are tempting… but the liquidation risk is massive.
• Fix:
Stick to 1–5x leverage or trade spot if you’re still learning.
8. Chasing the Hype Coins
• Buying meme or scam tokens after social media pumps.
• Fix:
Do your own research (DYOR). Check liquidity, tokenomics, team background.
9. Ignoring Fees
• Small fees add up fast, especially with frequent trades on high-fee networks.
• Fix:
Optimize fees (use BNB on Binance, choose low-fee networks, and trade during quiet hours).
10. Letting Losses Run
• Refusing to cut a losing trade, hoping it’ll recover.
• Fix:
Honor your stop-loss. Accept small losses; it’s part of trading.