#TradingMistakes101 Here is a list of common mistakes made by traders, marked as

🚫 1. Lack of a trading plan

Trading without a clearly defined strategy is like sailing without a map. Always have a plan that includes:

• entry and exit points

• stop loss level

• expected profit

🧠 2. Emotional decisions

Fear and greed are the enemies of profit. Stick to your strategy instead of making impulsive decisions.

📈 3. Overtrading

Trading too frequently increases risk and commissions. Trade only when you have an edge.

💰 4. Poor capital management

Risking too large a portion of capital on a single trade is a quick path to liquidation. Rule: do not risk more than 1-2% of capital on a single position.

👎 5. Lack of learning from mistakes

Not analyzing losing trades hinders growth. Keep a trading journal.

📉 6. Chasing losses (revenge trading)

After a series of losses, it’s better to take a break than to try to “get back” at the market.

📵 7. Ignoring fundamental/technical analysis

Relying solely on “gut feeling” rarely works. Combine technical analysis with fundamental analysis for better decisions.

📊 8. Too many indicators

Overloading a chart can lead to confusion. Sometimes less is more.

🔄 9. Changing strategy after one failure

A good strategy can sometimes lead to a loss. Do not abandon it after one bad result.

⏰ 10. Poor timing

Entering too early or too late can ruin a position. Patience and precision are key.