Common mistakes in trading

[TheFxTrader]

Yes not always like it, forex market sometime move not like as our favour, but I think we can recognized our mistake to determine our entry point, every tick price movement worth profit and loss possibility, sometime we repeated same mistake like as we rush in decision making while the trend already on saturation area.

Yeah... those mistakes. Perhaps sometimes your mind plays tricks on you. For instance, I repeated every day to a fellow trader to put SL to ALL his trades. He told me he is going to listen to my advice. One day he said - I just lost 250 dollars in a trade. I asked him - did you put SL? He replied - no. Haha! I asked him - why? He said - I have no idea. The market was moving in my direction and I was thinking nothing can go wrong. Ahahahaha! He puts SL to literally all his trades now. I guess some people need to experience the mistake in order not to repeat it. No matter how many times their friends told them how to avoid the loss and how not to mistake. LOL

 

[eagle]

A common mistake by many traders is that they don't use demo trading as it should be used. Even if they use it they don't give it proper time and dedication, they trade for time pass. For this reason they don't become good experts in trading.

 

[radex78]

A common mistake by many traders is that they don't use demo trading as it should be used. Even if they use it they don't give it proper time and dedication, they trade for time pass. For this reason they don't become good experts in trading.

Practice in demo account is very important for early prepration, yes this can being one reason why many beginner trader get fail in real trading, because they not learn sreriously in demo account and only trade in real account without experience in demo, and because their desired to make quick profit but lack in experience.

 

[radex78]

Yeah... those mistakes. Perhaps sometimes your mind plays tricks on you. For instance, I repeated every day to a fellow trader to put SL to ALL his trades. He told me he is going to listen to my advice. One day he said - I just lost 250 dollars in a trade. I asked him - did you put SL? He replied - no. Haha! I asked him - why? He said - I have no idea. The market was moving in my direction and I was thinking nothing can go wrong. Ahahahaha! He puts SL to literally all his trades now. I guess some people need to experience the mistake in order not to repeat it. No matter how many times their friends told them how to avoid the loss and how not to mistake. LOL

Over confident is one mistake which also often causing trader being recklessly in decision making, they felt surely will obtained profit because the trend wil move on their direction, but as trader should to remember if they can't control the market and only follow the market, put stop loss is one way to manage these risk so they will have more opportunities to making new transaction with left margin in their account.

 

[Lawrence]

Over confident is one mistake which also often causing trader being recklessly in decision making, they felt surely will obtained profit because the trend wil move on their direction, but as trader should to remember if they can't control the market and only follow the market, put stop loss is one way to manage these risk so they will have more opportunities to making new transaction with left margin in their account.

I would say that many times i did the same kind of mistake in my trades and only after a certain time when i made heavy losses i could realize that if i will have some sort of control in my trading i will be able to get success easily

 

[radex78]

I would say that many times i did the same kind of mistake in my trades and only after a certain time when i made heavy losses i could realize that if i will have some sort of control in my trading i will be able to get success easily

Maybe not easy to prevent same mistake occur again, but this is also as one leson for us if we often repeated mistake hence often loss occur also, in forex trading inded every decision we need to carefuly and one small mistake can the cause of big loss because the market very fierce.

 

[jellyeb]

I would say that many times i did the same kind of mistake in my trades and only after a certain time when i made heavy losses i could realize that if i will have some sort of control in my trading i will be able to get success easily

Exactly, managing risks is the first thing you need to learn before trading on live account. With such leverage and volatility forex is a dead game for those who don't use SL, TP and use inappropriate lot size for his deposit.

 

[radex78]

Exactly, managing risks is the first thing you need to learn before trading on live account. With such leverage and volatility forex is a dead game for those who don't use SL, TP and use inappropriate lot size for his deposit.

Trading without stop loss the end stop loss is get margin call account, because automatically order will closed by brokerage, and trade without stop loss is not advisable for beginner trader which they still lack in experience and maybe still often making bad analysis, stop loss is one way to manage the risk in trading

 

[olivine]

Yes trading without using any management tool is dangerous specially for new traders. Stop loss is a good tool we can use it to limit our loss. Trading in hurry and taking high risk for big profits is also a big mistake for traders.

 

[radex78]

Yes trading without using any management tool is dangerous specially for new traders. Stop loss is a good tool we can use it to limit our loss. Trading in hurry and taking high risk for big profits is also a big mistake for traders.

Not advisable to trade without stop loss because as trader not always they can making accurate analysis all the time, forex market very dynamic movement and sometime unpredictable, so because this weakness hence stop loss is one great feature to manage the risk that involved in forex trading activity, keep it with discipline.

 

[Lawrence]

Not advisable to trade without stop loss because as trader not always they can making accurate analysis all the time, forex market very dynamic movement and sometime unpredictable, so because this weakness hence stop loss is one great feature to manage the risk that involved in forex trading activity, keep it with discipline.

I have made this type of mistake by doing such trades that gave me losses because i was not using Stop loss in my trades. We have to understand this and always trade using Stop losses

 

[radex78]

I have made this type of mistake by doing such trades that gave me losses because i was not using Stop loss in my trades. We have to understand this and always trade using Stop losses

I am ever hear certain company which they relying with their strong margin in account and trade without stop loss because they sure will able to withstand price movement, but what happen they get bankrupt because loss huge money on certain market condition like as if central bank intervention currency it will making currency move rapidly and large pips

 

[Sophie Jane]

I think there is even more powerful and useful tool which is trailing stop loss. It allows us to have a higher profit but still can protect our capital. even when the price moved in opposite direction to our original order

 

[Lawrence]

I think there is even more powerful and useful tool which is trailing stop loss. It allows us to have a higher profit but still can protect our capital. even when the price moved in opposite direction to our original order

As a trader we have to target High profits from our trading and that will only happen when we are planning our trades well in advance so that we can strike some good trading opportunities easily

 

[Sophie Jane]

yes, you are right, but it's really hard to become a professional trader and reach that high level

 

[TheFxTrader]

yes, you are right, but it's really hard to become a professional trader and reach that high level

A lot of practice will do. Another mistake in my opinion is trading with a big number of instruments in the same time. I think in order to properly analyse an instrument, one has to take the time and focus on it. My personal opinion is that you can focus your efforts in 3 - 5 instruments at a time, no more than than. How many instruments do you guys trade with?

 

[Sumita]

According to me there are number of mistakes we do in trading which goes unnoticed most of the times. Some of them which I remember are:
1. Relying upon a Scam Broker, which means if you have not done full search before selecting a broker, your trades might be in the wrong hands.
Yes every broker is here to earn but choose one which is atleast reliable for processing proper deposit and withdrawals.
2. Dependency on Demo account. Too much reliance on the demo environment can be harmful because things like re-quotes, rejection of trades are encountered only in live account. So it would be advisable to start with demo but to know more switch to live (only with small amount open your account).
3. Investors are often fooled by the brokers about ecn brokers. Although in reality they are market makers but they potray themselves as STP or ECN brokers.

 

[jakesgarland]

Trading the financial markets, especially forex, is increasingly becoming a popular career of choice for most people. However, there are common mistakes that traders, particularly beginners, make when trading.
1. Looking for quick cash.
2. Looking for perfect solution.
3. Lack of Patience
4. Lack of skill in managing money.
5. Lack of ability to control emotions.
6. Lack of mentor and support.
7. Too high expectations.
8. Looking for emotions
9. Lack of education.
10. Lack of self-discipline.

[URL removed]

 

[radex78]

Forex business is not easy way to get rich at short time, if any beginner trader they want to making quick cash in forex trading, hence usually will faced with bad result, as trader they need to built up good mindset if orex is not quick way to get rich at short time.

 

[TheFxTrader]

According to me there are number of mistakes we do in trading which goes unnoticed most of the times. Some of them which I remember are:
1. Relying upon a Scam Broker, which means if you have not done full search before selecting a broker, your trades might be in the wrong hands.
Yes every broker is here to earn but choose one which is atleast reliable for processing proper deposit and withdrawals.
2. Dependency on Demo account. Too much reliance on the demo environment can be harmful because things like re-quotes, rejection of trades are encountered only in live account. So it would be advisable to start with demo but to know more switch to live (only with small amount open your account).
3. Investors are often fooled by the brokers about ecn brokers. Although in reality they are market makers but they potray themselves as STP or ECN brokers.

It's easy to find out whether your broker of choice is a solid one or not. You can do this within minutes. )) You go to your broker's website and search for info regarding its regulator. Then you can go to the regulator's website and search for the broker in the list of institutions regulated by the authority. For instance, my broker is FCA regulated and it's clearly stated on FCA's website that the broker is indeed regulated by them. Also, it has other regulations as well, so no scam. ))
I would like to ask why so many people are so scared of brokers that are market makers? Most of the biggest brokers with huge amount of clients are market makers and their clients are happy with them and stay with them for years. I mean, what's the problem with being a market maker, do I miss something?