#TradingMistakes101
**5 Common Trading Mistakes You Must Avoid**
Trading can be profitable, but even small mistakes can lead to big losses. Here are 5 common errors to avoid:
1. **No Trading Plan** – Trading without a strategy is gambling. Define your entry, exit, and risk management rules before entering a trade.
2. **Overtrading** – Taking too many trades out of greed or boredom increases risk and commissions. Stick to high-probability setups.
3. **Ignoring Stop-Losses** – Letting losses run destroys accounts. Always use a stop-loss to limit downside.
4. **Chasing Trades** – FOMO (Fear of Missing Out) leads to entering late at bad prices. Be patient and wait for the right opportunity.
5. **Emotional Trading** – Fear and greed cloud judgment. Stick to your plan and avoid impulsive decisions.
The best traders minimize mistakes by staying disciplined. Learn from errors, refine your strategy, and trade wisely!