#TradingStrategyMistakes Many trading strategies fail due to common mistakes. A major pitfall is lack of a well-defined plan, leading to impulsive decisions without clear entry, exit, or risk parameters. Poor risk management, such as not using stop-loss orders or overleveraging, can quickly wipe out capital. Emotional trading (fear, greed, revenge trading) often overrides logic, causing traders to deviate from their strategy or chase losses. Over-optimization/curve fitting makes a strategy perform flawlessly on historical data but fail in live markets. Finally, ignoring market changes or failing to adapt a strategy to evolving conditions also leads to underperformance. Discipline and continuous learning are vital to avoid these errors.