10 mistakes in trading to avoid at all cost

Here are some of the Losing Strategies Stock Investors and Traders should avoid:

1. Purely relying on others opinion and not on one's own analysis.

2. Buying stocks without checking fundamentals and technical.

3. Don't have confidence on the stocks they bought.

4. Aiming for more when target prices have already been hit.

5. Relying on just one analysis report and taking it all from there.

 

Thank you for sharing these tips. These are actually good points to remember in trading especially for newbies in the business like me. I sure will keep them in mind.

 

Number one is a mistake that I do repeatedly when I was starting out. I just thought: "I'm a risk taker, so this should work out eventually." This naive mentality eventually backfired on my portfolio. I found myself being swayed by emotions and selling at a loss. Having a plan is like having a moral compass. In overwhelming situations, you can always go back to your plan and execute it.

 

These are very practical and exhaustive tips especially for those new to the stock market. I should also add copycat trading where people rush to invest in stocks by taking cues from others assuming that they would be able to duplicate their success without taking into account the flux of stock market dynamics involved.

 

These are very practical and exhaustive tips especially for those new to the stock market. I should also add copycat trading where people rush to invest in stocks by taking cues from others assuming that they would be able to duplicate their success without taking into account the flux of stock market dynamics involved. Others give up too easily due to ignorance of the fact that loss is part of the learning experience.

 

I think that is a very good guide for a novice investor. I mean it is important to look at the stocks yourself before blindly relying on a "so called expert." I think that is one of the most important tips we can use when looking for stocks to invest in. I just think that there are so many investment options available with so many choices that we as investors really need to do their homework.

 

Can anyone here recommend a book that explains technicals and investing such as RSI, Channel investing, and comparing moving averages? Looking for a book, not a guru or a DVD.

 

I found two inexpensive Dummies (www.dummies.com) books as quick reads and references to brush up on the subjects I originally learned back in my college days of the 1960s. Try Barbara Rockefeller's "Technical Analysis for Dummies" (ISBN 978-0-470-88800-1). Whereas Rockefeller has an overview of candlesticks, for a deeper dive, try Russell Rhodes' "Candlestick Charting for Dummies" (ISBN 978-0-470-17808-9). HTH. YMMV.

 

Following are the common mistakes an investor should avoid while trading in the market -
1. Fully rely on other trader's suggestion
2. Entering into the market without having a trading plan.
3. Selecting a broker without doing a proper analysis.
4. Trading without confidence.
5. Do not watch market regularly.
6. Being too emotional while trading.

 

As per my view, using a bad broker is the biggest mistake in trading Forex or cryptos so I will recommend all the guys to use FreshForex broker as I am using this since 2009 and passing absolutely great time.