#TradingStrategyMistakes Common mistakes in trading strategy
1. No clear strategy: Trading impulsively, without a plan, easily swayed by the market and FOMO.
2. Overtrading: Opening too many positions without clear signals, leading to high fees and stressful mindset.
3. Not setting Stop Loss and Take Profit: Failing to cut losses in time or not taking profits, resulting in losses or missed profits.
4. Constantly changing strategies: Changing strategy after each loss without understanding the reasons for failure, resulting in lower effectiveness.
5. Using excessively high leverage: When the market moves against you, the account can be quickly wiped out.
6. Trading based on emotions: Worrying, fearing losses, and being greedy can lead to poor decisions and unreasonable entries.
7. Not testing the strategy beforehand: Not backtesting or running trials with a demo account, leading to ineffective strategies.
8. Poor capital management: Entering trades with too large a position size or not allocating capital properly, resulting in high risk.
9. Blindly following others: Copy trading or listening to "experts" without understanding the reasons, making it easy to incur heavy losses.