Common mistakes by novice and amateur traders in the stock markets

How many commonly known trading mistakes have you committed in your trading.....
  • Traded blindly without any homework or trading plans (poor discipline).
  • Traded impulsively or at a no-trade zone (poor or no trade plan).
  • Traded without Stop Loss or with too big Stop Loss (poor Risk Management).
  • Traded way too many trades in a day resulting net losses - over trading. (poor Risk and Money Management).
  • Traded against the trend and then booked losses (poor Plan and Risk Management).
  • Traded with the trend but booked small profit and too early.
  • Traded with good plan (mm, rm, plan, discipline) but with no confidence in the plan resulting less profit to cover other big losses.
  • Traded booking small profits and big losses.
  • Traded at Market Price in less volume scrips resulting big losses.
  • Traded on speculations, rumour or news and getting trapped in market makers game resulting in big losses.
  • Traded with fear/greed and without knowing risk/reward ratio.
  • Traded on others tips resulting huge losses.
  • Traded after reacting to watching CNBC or US/Europe NEWS and resulted in losses.
  • Trading not knowing and realising which time frame suits your personality.
  • Averaging and over leveraging losing position and selling in panic.
  • Converted intraday or swing trades into short term and long term without reasons.
  • Revenge trading. Unable to bear losses and then traded more and more to recover the loss.......nearly wiping out your account.
  • Holding on to a losing position and trying to justify the trade which has gone against you.Using mental stop
  • Trying to exit a trade on a larger time frame than the one entered in to.
  • Hoping and praying that a losing trade will turn a winner – praying to god! Reluctance to accept reality and changing your opinion of the market.
  • Not analyzing loosing trades and not trying to LEARN lessons from it..... repeating same mistakes over and over.
Stop doing this,Right Now.

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