Topic: Mistakes newbie makes in trading resulting to losses - page 6. (Read 806 times)

Yeah this is all a mistake, but for newbies they will inevitably encounter all of these along their way. I mean no matter how many times you'll throw a lot pre cautions and techniques to them they would never ever understand it fully until they will experience everything.
But there is one thing on your list that even regular traders are doing it, and Im no exemption, Fomo, because it doesnt always give you a lossing trade, somtimes it'll take advantage of the continuos pump of that specific alt, you just need to learn when to sell.

I think so too, greed to me is the major factor to newbie trade resulting to losses and also lack of experience play a major part in contributing to their trade losses. Some newbies don't know when to quit and move on to other potential profitable coins/tokens. They have this mindset of trying to recover their losses with that same coin/token that gave them the loss not knowing you lose some you profit from others and this is cause by lack of experience.

The problem is it is being introduced to the newbies like its a "quick get rich scheme". They say its easy, just buy low, sell high. Its not that easy.

I agree with all you mentioned above but I guess newbies need to go through all of those so they will learn from their mistakes. No matter how many times we remind them if this,they will continue to commit mistakes until they learned from it. I learned from my previous mistakes.

Both beginners and experienced people will never succeed if they trade in panic when they see market movements and greed when they will profit, trade normally and not take too much risk is the key to success and do some research before going into the market.

I would much prefer on experiencing these losses for us to learn and would realize that our expectations or hopes isnt really fit out with the reality we are facing.
Mistakes do really happen and cant be avoided but by such experience you do gain along the way you can somehow lessen those losses if you do know how to learn up with it.

Catching and releasing game starts with such small activities and trader usually loses balance at the end of the trading session. If there is a loss that you can afford closing this trading position is a better idea than holding with recovery hope.

Another important thing you forgot to point out is Greed.
Greed can affect one's decisions on when to exit. You find someone wants to get 100% profit before exiting and eventually the coin price corrects before hitting the 100% profit target, and they end up loosing out. Sometimes they can even go to losses trying to wait for the coin to rise again to high 100% 

FOMOing's something that I still do on a few occasions and I've been trading crypto for several years. It's truly difficult to not FOMO sometimes, especially when a coin has already pumped and seems to have more space to go upwards, but you'll only get better at this by removing your emotions from the picture (easier said than done) and trading more.

High leverage is available on several exchanges, but it's a good idea to not use massive leverage as a whole. Extremely high leverage can be like gambling, though lower leverage is just fine to use.

It's also not easy to understand.

Some of the things you have pointed out are usual to happen by newbies. In other words, normal and kind of human nature.

I believed it's good for newbies to experienced those at their first phase of doing trades. In that way, they will feel the actual environment in the world of trading. If they will be used to that, soon they will be more improved and now be able to control those things above. Even how they read the basic and must things to do when doing trade, they can't avoid mistakes.

Trading is not a quick get rich scheme. But having quality knowledge about price movement of crypto asset is essential before taking crypto trading as a full time job.

There are several mistake newbies often make during the course of trading which are listed below:

1- Buying of a crypto asset that is already high without stop loss and  selling low because of uncertainty of indecision candle  in chart.

2- over reacting to sudden change of prices which leads to Panic selling.

3- Trading without any strategy  in mind before placing an order.
 
4- the fear of missing of out is another major strategy whales use in manipulating prices thats attract newbies to buy at all time high.

5- Trading with 100% of the portfolio in only a single trade instead of spreading hard earn money in different trade.

6-not taking proper rest and allow the brain to relax in taking proper decision in entry or existing orders.

7- Greed is never be satisfied with the little profit,is an emotions that create an hunger for more profit.this hunger for more profit without setting take profit or stop loss result to losses due to over excitement of trend movement that favors the trader

These are mistake that newbie make that result to loss of their hard earn money in crypto exchange trading.

Hence to avoid all these mistakes you need to to learn different trading strategy and different chart pattern and historical data analysis of crypto asset.

We have seniors in the forum , their contribution will be vital and help everyone to avoid mistakes ,these are just my experience and observation.
Have a cool crypto trading .