Have you ever wondered what helped all those professionals of Wall Street become successful? You will be surprised, but the key to their reached heights is hidden in their mistakes. Yes, that is right. Most professional and successful traders made many mistakes before they got to the top.
Making mistakes is ordinary and sometimes even necessary because you learn when you make them. The crucial point of this idea is never to repeat those mistakes because some errors may cost us a fortune. That is why we gathered 10 most common trading mistakes to prevent you from faults and losses.
Little preparation Entry to the Forex market is relatively easy, so people have a light-minded attitude towards trading knowledge. Beginner traders, especially, think that theory is not a big deal, and they will be able to build it up without a peep. However, it does not work this way.
Miscalculating the risk/reward ratio For some reason, many traders believe that higher win trades are more profitable than lower ones. Sometimes, this idea even gets paid off, and due to blind luck, trades, where the potential risk exceeds the reward, benefit. However, in most cases, such trades are a sure way to lose money in the longer term.
Avoiding risk management Risk management should be the core of your trading because it helps cut down losses. Trading without risk management is like skydiving without a parachute.
Neglecting market events Relevant market news is essential as economic events influence the direction of trading during the day. So, if you are not aware of the financial reports or earnings, you might skip the volatility.
To win the game, you need to develop your thinking and how you participate in the game. You are in a market trading against professional traders. Your goal is to think like a professional. That is the only way to survive in this game.
Dear followers, let me know, what topic interests you for new educational posts?
wow! that was a good read. thanks for putting this article together mate
TradingShot
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jjowoeye
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Thank you for sharing your view - am very grateful and "YES" we need more professional wisdom like yours to educate the new investors and; as such, God will continue to reward you for snowing a seed and reward you for how you are paving the way for new generation. Again, thank you for your great contribution to our society.
Question What are your thoughts and guidance on how to implement/apply Stop Loss (SL) in Option Trading? Thank you
ProjectSyndicate
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setups that payout keep it up
TopTradingSignals
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Appreciate!
VasilyTrader
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Good luck!
UnitedSignals
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Great, champ
basictradingtv
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Awesome work mate!
Investroy
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Amazing educational post! Gotta love the illustrations👹
SignalProvider
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Dear followers, let me know, what topic interests you for new educational posts?