Top 10 Mistakes On Trading

[Fxprofitrader.com]

Top 10 Trading Mistakes On Trading

1. Too big postition,
   
   
2. No use stoploss,
   
   
3. No trading psychology,
   
   
4. No trading plan,
   
   
5. No discipline,
   
   
6. Novice trader trading that, what trading other traders,
   
   
7. No patience,
   
   
8. Trading with emotions,
   
   
9. No money management,
   
   
10. Trading againts trend.
    

If you avoid this top 10 trading mistkes, then you are on right track to be profitable FX trader, who makes money for a living. And this is a very nice thought which are dreams of every trader.
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“A losing trader can do little to transform himself into a winning trader. A losing trader is not going to want to transform himself. That’s the kind of thing winning traders do.” Ed Seykota

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[buzzfxbroker]

Yup I'd say this is a pretty comprehensive list of where people go wrong. I'd also add that having a good broker is important too. If you have a broker that runs a B book or trades against you then they want you to lose. You want a broker whose success relies on your success and one that offers tight spreads, obviously

 

[Fxprofitrader.com]

Hey buzzfxbroker,

Thank you for your comment, I really apriciate that.

Yes I agree with you, every trader have to choose the best broker. This is really important. But If you trade on Daily Time Frame then broker dont have so manny opportunitys to take your stoploss. I think its more bad for this trader, who trader on intraday chart (1min, 5min, 15min..) This can be a very stressfull..

But well, about broker, this is some other subject to talk

FxProfiTrader

 

[Aadolf]

Some traders have a very fine money management strategy. But they make the mistake of thinking that alone is enough and is going to increase their edge. If that's the type of trader you are, your system isn’t any good, you’re still going to lose money, no matter how effective your money management rules are. But if you have an approach that makes money, then money management can make the difference between success and losses.

 

[buzzfxbroker]

Another good point about stop losses.

There's an interesting article by Jarrett Davis here if anyone wants to read more about it. He argues that it's large players like banks that are more guilty of taking the stop losses, but I am sure there are brokers that do it too.

Hey buzzfxbroker,

Thank you for your comment, I really apriciate that.

Yes I agree with you, every trader have to choose the best broker. This is really important. But If you trade on Daily Time Frame then broker dont have so manny opportunitys to take your stoploss. I think its more bad for this trader, who trader on intraday chart (1min, 5min, 15min..) This can be a very stressfull..

But well, about broker, this is some other subject to talk

FxProfiTrader

 

[Aadolf]

Some traders find it hard to accurately predict their own trade execution. Therefore, since we cannot influence how the markets will react, the need for traders to exercise control over those changeable that we can actually control. And that is the risk that we as traders take when entering a position.

 

[buzzfxbroker]

Some traders find it hard to accurately predict their own trade execution. Therefore, since we cannot influence how the markets will react, the need for traders to exercise control over those changeable that we can actually control. And that is the risk that we as traders take when entering a position.

This reminds me of the Buddhist quote about trying to control what cannot be controlled. Though I've tried Googling it I can't find it anywhere. Maybe I made it up!

 

[Alexfx79]

Yeah, great points. But I think you should maybe write what can be done to avoid those mistakes.
I have met an article on the similar subject on Forexalchemy not so long ago, but there was more info on the theme
Well, I can't say it looks like a textbook for traders, but at least some interesting tips for beginners can be found there.

 

[Aadolf]

This reminds me of the Buddhist quote about trying to control what cannot be controlled. Though I've tried Googling it I can't find it anywhere. Maybe I made it up!

Don’t count your chickens before they are hatched. That's exactly how the market is. Profits aren’t booked until the trade is closed. The market gives and the market takes away with great fury.

 

[buzzfxbroker]

Very true, I'm sure we all know someone who has lost big and had to claw it all back again. One of my favourite phrases is not "Get rich quick" but "Get rich slow" to make sure you minimise risk.

 

[Aadolf]

Most traders make the mistake of not preparing for slippage. When a wise and smart trader trades in a volatile market, he has to be prepared for slippage. One of the smart way traders can protect themselves from slippage is by avoiding market orders when not necessary.

 

[Fxprofitrader.com]

Hey traders,

nice conversation carry here. I am happy about that.

My personally view is, the most traders is losing money beacuse:
- they are overtrading
- too big position
- new members want to earn big money so quickly
- no trading plan (they dont know, where to set buy/sell order, stoploss, target)

For me personally its forex life opportunity to beeing free and doing what I want to do in my life, avoid regular job from 8 - 16.
So I look at the forex to create opportunity to invest money on long run. So I trade on Daily, Weekly and Mothhly time frame.
You know why? If I get 5 strong trade setups in one month, this 5 strong trade setups represent for me some big money and
I dont care, if price hit my stoploss, usually dont and hit my target. What I want to tell you guys, its better to avoid lower time frames,
maybe its there many opportunitys, I agree with that, but its more fake signals too and that all traders take the money from
their pocket. The bigger time frame do you trade, the better results you have.

And more time do you not in the market the better trader you be and better reulsts you have..

Regards,

FxProfiTrader

 

[buzzfxbroker]

The point about fake signals is an interesting one. Do you mean signals are misinterpreted and turn out to be wrong or signals that are actually fake and put online to misdirect people?

Hey traders,

nice conversation carry here. I am happy about that.

My personally view is, the most traders is losing money beacuse:
- they are overtrading
- too big position
- new members want to earn big money so quickly
- no trading plan (they dont know, where to set buy/sell order, stoploss, target)

For me personally its forex life opportunity to beeing free and doing what I want to do in my life, avoid regular job from 8 - 16.
So I look at the forex to create opportunity to invest money on long run. So I trade on Daily, Weekly and Mothhly time frame.
You know why? If I get 5 strong trade setups in one month, this 5 strong trade setups represent for me some big money and
I dont care, if price hit my stoploss, usually dont and hit my target. What I want to tell you guys, its better to avoid lower time frames,
maybe its there many opportunitys, I agree with that, but its more fake signals too and that all traders take the money from
their pocket. The bigger time frame do you trade, the better results you have.

And more time do you not in the market the better trader you be and better reulsts you have..

Regards,

FxProfiTrader

 

[buzzfxbroker]

Most traders make the mistake of not preparing for slippage. When a wise and smart trader trades in a volatile market, he has to be prepared for slippage. One of the smart way traders can protect themselves from slippage is by avoiding market orders when not necessary.

Ever wonder why 97% slippage works in the brokers' favour? Our average execution speeds are under 10 milliseconds - which reduces slippage to almost zero.

 

[Aadolf]

Ever wonder why 97% slippage works in the brokers' favour? Our average execution speeds are under 10 milliseconds - which reduces slippage to almost zero.

The forex industry kills traders with commissions and slippage. No wonder Alexander Elder said: Slippage and commissions make trading similar to swimming in a shark-infested lagoon.”

 

[buzzfxbroker]

The forex industry kills traders with commissions and slippage. No wonder Alexander Elder said: Slippage and commissions make trading similar to swimming in a shark-infested lagoon.”

You're like the king of wise quotes or something. Got any more up your sleeve?

 

[Fxprofitrader.com]

The point about fake signals is an interesting one. Do you mean signals are misinterpreted and turn out to be wrong or signals that are actually fake and put online to misdirect people?

Dont understand you buzzfxbroker, if you think that I post wrong signal, then you check my site and look, I think its a 100 % perfect trade setup and 100 % trading success with my trades.. I dont work for nobady I just post what I trade...

 

[GazFx]

Some traders have a very fine money management strategy. But they make the mistake of thinking that alone is enough and is going to increase their edge. If that's the type of trader you are, your system isn’t any good, you’re still going to lose money, no matter how effective your money management rules are. But if you have an approach that makes money, then money management can make the difference between success and losses.

Sorry, but this is 100% incorrect! Money management makes money even with the poorest, worst performing strategy. A good strategy can improve performance, but only when it is back with good money management.

 

[Alexfx79]

Dont understand you buzzfxbroker, if you think that I post wrong signal, then you check my site and look, I think its a 100 % perfect trade setup and 100 % trading success with my trades.. I dont work for nobady I just post what I trade...

He was answering to your post. Here is the part of it: "I agree with that, but its more fake signals too and that all traders take the money from
their pocket."

 

[buzzfxbroker]

He was answering to your post. Here is the part of it: "I agree with that, but its more fake signals too and that all traders take the money from
their pocket."

Yeah Alex is right, I wasn't suggesting Fxprofittrader posts fake signals, I was just asking from his experience if he thinks that some people or companies intentionally post fake signals to misdirect investors?
Or if some signals just turn out to be wrong, because that's the nature of the beast.