The #1 mistake costing new traders thousands:
Overtrading.
90% of traders don’t even realize they’re doing it.
Master these 6 warning signs to protect your account and boost your profits:
- The FOMO Monster Ate Your Profits
- Trading more doesn’t always mean earning more
- Check your trade frequency against your plan
- Set daily trade limits and stick to them
- Use a trade journal to spot overtrading patterns
- Remember, sometimes the best trade is no trade at all
Your Account Looks Like a Rollercoaster
Wild swings in your balance spell trouble.
- Compare daily P&L to your average
- Look for increased drawdowns over time
- Check if winning trades barely cover losses
- Steady growth beats thrilling ups and terrifying downs. Always.
The “Just One More” Syndrome
This sneaky habit can destroy your trading career fast:
- Set a hard stop time for daily trading
- Use a physical cue to signal session’s end
- Practice walking away, even during winning streaks
- Your future self will thank you
Chasing the Dragon of Dopamine
Trading for the rush? You’re doing it wrong:
- Notice if you’re trading out of boredom
- Track your emotional state before trades
- Take regular breaks to reset your mindset
- Trading is a business, not a casino. Treat it like one.
The News Junkie’s Downfall
Information overload leads to overtrading.
- Limit daily financial news consumption
- Stick to your pre-defined trading triggers
- Avoid making snap decisions on breaking news
- Not every market move needs your participation. Stay focused.
The Spreadsheet Never Lies
Numbers don’t care about your feelings. They reveal:
- Calculate your win rate over time
- Monitor your average trade duration
- Compare current vs. historical trade frequency
- Let data, not emotions, guide your trading decisions.
To learn more about How you can Start Trading for a living, sign up below for my Free Training on the “7-Steps to Financial Freedom through Trading”.
