#TradingMistakes101 Here are some common trading mistakes, in no particular order:
* Lack of a Plan: Trading without a well-defined strategy, entry/exit points, and risk management.
* Emotional Decisions: Letting fear or greed dictate trades, leading to impulsive actions.
* Overleveraging: Using too much borrowed capital, amplifying losses and increasing liquidation risk.
* Chasing Pumps: Buying into rapidly rising assets based on hype, often leading to being caught at the top.
* Revenge Trading: Trying to recoup losses by taking larger, riskier trades immediately after a losing one.
* Ignoring Risk Management: Neglecting stop-losses or position sizing, exposing oneself to significant drawdowns.
* Overtrading: Taking too many trades, leading to increased transaction costs and fatigue.
* Not Cutting Losses: Holding onto losing positions hoping for a recovery, turning small losses into large ones.
* Lack of Discipline: Deviating from one's trading plan due to impatience or external pressures.
* Poor Record Keeping: Not tracking trades, making it difficult to analyze performance and identify weaknesses.
* Believing in "Get Rich Quick": Falling for unrealistic promises and scams.
* Trading Illiquid Assets: Difficulty entering or exiting positions at desired prices.
* Not Adapting: Failing to adjust strategies to changing market conditions.
* Lack of Research: Trading based on tips or incomplete information.
* Comparing to Others: Feeling pressured by others' gains, leading to poor decisions.
* Trading Against the Trend: Fighting the market's direction, often resulting in losses.
* Underestimating Fees: Not accounting for commissions, spreads, and other costs.
* Ignoring News/Events: Not staying informed about factors impacting chosen assets.
* Lack of Patience: Entering trades too early or exiting too soon.
* Trading While Stressed/Tired: Impaired judgment leading to errors.