Every year there are more and more people who want to earn profit on trading, but only a few of them succeed. What is the reason for this? Let’s take a closer look at the typical mistakes that novice traders make.
Mistake #1: too many trades.
Many traders believe that they need to trade all the time for successful trades, but this is a big misconception. Trading involves patience and competent analysis.
Try not to make deals just for the sake of quantity, open positions at the right time. This way you will save your funds and will be ready to use them when there are good trading opportunities.
Mistake #2: compensation for losses.
A common mistake of many novice traders is the immediate desire to compensate for their losses after a loss trade. No matter what time of day you trade or what you rely on during trading, it is extremely important not to give in to emotions and not make hasty decisions.
Mistake #3: self-confidence.
It is necessary to accept the fact that the market is very unstable, so it is very important to adapt to its changes and make a strategy work better. Just follow your discipline and learn from mistakes.
Mistake #4: TA is not a guarantee.
That’s right, TA helps to predict what the market prepares for, but the analysis does not provide accurate information since the data is based on probability theory. You should be aware that the forecast that you have made does not guarantee 100% profit.
Mistake #5: copying the strategies of other traders.
Perhaps this method will work several times, but you need to constantly improve your skills and knowledge. If you want to make it a regular income, develop your strengths.
Try to avoid these mistakes, and you will be able to achieve excellent results.