After knowing the two previous trading fatal mistakes that make your trading fail, let’s continue our discussion about the next four.
Check out 6 trading fatal mistakes that you should avoid:
Do not want to learn
Maybe there are some of you claim to be a trader. However, you never try to always update your technical skills, never keep up with news about Forex, never read books about forex, don’t take part in forex seminars, and don’t join the forex trader community. Then, do you still claim that you are a trader?
You do not have to always attend an existing forex seminar. It does not have to be active in the forex forum. But at least you always try to improve your ability to trade. You can improve your ability through informal discussions with fellow traders, or just simply monitoring the news, or just reading books or e-books related to forex. You will be more capable if you alwas try to learn.
Do not care about money management
Money management aims to control your risks and losses so that you don’t experience fatal errors or even losses. If you don’t care about money management, that means you have given up your deposit to disappear without a clear purpose.
Not caring about the psychological aspects of trading
A trader who is able to control emotions in trading will be able to understand that not all positions must make a profit to get positive capital growth. Occasional losses do not make them emotional and then take revenge. According to Baby Pips, revenge trading is mainly driven by the fear of being wrong or even a particularly frustrating loss. The possibility of a loss has been calculated in the trading plan. Thus, if you trade with the intention of revenge because of the loss that you have just experienced, the revenge will make your account more bleeding.
In other words, if you cannot control your emotions well, it will be one of the fatal mistakes that destroy your trading account. Thus, you should be very careful to do your trading activity.
Too Daring to Bear the Risk of Overload
Do you want to bear the risk of loss of 100 pips to only take 10 pips profit? Or instead, you often trade without a stop loss? Remember that we are here as investors. We are traders, not gamblers. Thus, don’t take risks that are not commensurate with the rewards we will get.
Read more: 4 Trading Dangers that Threaten Your Trading Profit
