#TradingMistakes101

Protect your capital before you think about multiplying it.”

Why this advice in particular?

Because survival in the market is more important than making a profit, especially in a volatile market like cryptocurrencies. Profit will come with time and experience, but if you lose your capital early, you won't have the chance to learn or recover.

What branches from this advice?

All of the following are branches of it:

1. Capital management:

• Do not risk more than 1-3% of your capital in a single trade.

• Allocate only a portion of your capital for trading, and keep the rest as a reserve or for long-term investment.

2. Psychological discipline:

• Do not chase the market (FOMO).

• Do not take revenge on the market after a loss (Revenge Trading).

• Stick to the plan no matter what your emotions are.

3. Respect entry and exit points:

• Do not enter without a clear reason or plan.

• Set a stop loss before entering, and stick to it no matter what happens.

4. Avoid using high leverage without experience:

• More than 90% of those who use excessive leverage zero out their accounts in the first 6 months.

5. Learn to wait:

• Sometimes, the best trade is not to trade.

Summary:

Do not ask “How much will I earn?”, but first ask “How much can I lose? And how do I protect myself?”

Only then will you begin to truly transition from a gambler to a professional trader.