#TradingMistakes101

Here’s a list of common trading mistakes—these can apply whether you’re trading crypto, stocks, or any other asset class. Avoiding these can dramatically improve your performance and protect your capital.

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🚫 Top Trading Mistakes to Avoid

1. Lack of a Trading Plan

Jumping into trades without clear entry, exit, and risk management rules.

✅ Solution: Create a written strategy and backtest it before risking real money.

2. Overtrading

Trading too frequently, often out of boredom or FOMO.

✅ Solution: Focus on quality over quantity—trade only when your edge appears.

3. Risking Too Much on One Trade

Using too much leverage or putting a large portion of your portfolio in a single position.

✅ Solution: Risk 1–2% of your capital per trade max.

4. Emotional Trading

Letting fear, greed, or revenge drive decisions.

✅ Solution: Stick to your plan, and use stop-losses to enforce discipline.

5. Chasing the Market

Entering trades late after a big move, usually based on hype or FOMO.

✅ Solution: Trade based on setups, not emotions or trends that have already played out.

6. Ignoring Risk Management

No stop-loss, no position sizing,