In fact, people certainly make mistakes in their daily lives. However, the mistakes made are proof that we are in the process of success. Moreover, we can take lessons from every mistake we make, including in trading.
Many traders are not aware that trading has some significant risks. These risks arise because traders make fatal mistakes in trading. However, some of them did not realize it. Thus, they still make these fatal mistakes and experience a big loss.
To minimize losses, you must recognize some of the errors below and avoid them.
Well, let’s look at what are 6 trading fatal mistakes in trading:
Do not have a trading system
Not having a trading system is the first fatal mistake. If you do not have a trading system, it means that you will tend to trade based on an approach that can be said to be messy plus disheveled. How can you expect success from random methods? Conversely, having a trading system means that you have guidelines and goals and how to achieve clear objectives in trading. Having a trading system increases the likelihood of success because you have guidelines for entering, leaving the market or standing aside. In other words, you are on a certain path to achieving your goals.
Not Disciplined
Even if you claim to have a trading system, but if you yourself are not disciplined in following the system that you set, you are making the second fatal mistake. Many trader friends claim to have a trading system, but in practice, they still often trade impulsively regardless of the system they have set.
According to Optimus Future, a lack of discipline often the cause of the most common trading mistakes such as experiencing losses. Thus, you should be discipline if you want to get huge trading profits.
Read more: FOMO, How can You Overcome it?
