Traders Common Mistake

Most common mistake: Being less than 100% objective. If you are trying to trade like a Jedi with your feelings and emotions it's not gonna work.

 

We are human, not machine. Even the set it and forget it strat sys traders.

Laughable to think emotions are not a part of our decision-making. Believe it or not they can sometimes help us.

Anyone who has ever been in a trade and froze. Shut down. Unable to think or decide what to do about things going the wrong ... in a big way. Brain freeze, nothing.

Maybe it is fear about taking a big loss, taking yet another loss X times in a row, needing to make a car payment at end of the week, whatever.

In any case a bit of emotion, slamming keyboard, yelling at the screen and getting the eff out of the trade would be a good thing.

Level headedness should be the goal, very little up/very little down emotionally no matter the markets or one's trade account balance. Zero emotions is simply unattainable.

 

I am all for letting the emotions out from time to time. Otherwise, it will gush out like an avalanche at the most inconvenient moment.

 

Forex market is full uncertainty, trade blindly without any plan trading also become the reason why trader facing harder to catch opportunities, however, emotion maybe hold 90% decision trader, but how to keep discipline only easy to say but difficult to implement.

 

The mistakes traders make are all connected with their plan.

So, trading without a plan, trading an untested unrefined plan, trading contrary to the plan....
But as has been said above, these are decisions, they're not divine acts.

What the individual error comprised on this trade at this time on this market is not too helpful as subject for minute dissection and study.

 

A trading plan is essential, many traders talk about this, trading without a plan is also considered a common mistake in forex trading, besides setting irrational targets, over-trading, insufficient trading capital, etc.

 

What would you say is a fair estimate of the percent of traders that use a written trading plan?

 

There's an echo in here, which seems to happen quite often in forex topics.

 

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Great stock, FORD, in the 1900's + 1997;
i like the way he was very selectiVe in his oak shipping boxes/used them for floorboards.
And he made Ford[KingsFord ] Charcoal out of the scraps.
My banker dad did better /he never bought charcoal, or Forex+ used hickory sticks + oak sticks/LOL Ford Company use .22 rifles for fun...................

 

Most traders start trading on real trading on the first day of their trading career and have no practice account so mostly they fail lack of knowledge and skills.