What are the mistakes that new traders do while trading?

[stoch]

They trade without stop loss and also they choose wrong position size which may produce very large loss and make it difficult to recover emotionally.

 

[stoch]

I am a new trader and want to avoid the mistakes done by new traders...guidance is appreciated...

Always use stop loss and take profit in trading, learn to be patient and avoid high leverage. Pro traders know that successful trading is all about timing of entry and exit because profitable opportunities don't occur often.

 

[sahil kapoor]

Not giving much attention to the learning and research part. They directly start to trade without much preparation.

 

[stoch]

Not giving much attention to the learning and research part. They directly start to trade without much preparation.

What preparation are you talking about? Can you please outline some instructions or rules of how to get prepared?

 

[s.sharma]

Stop loss is one of the most common mistake ever made by anyone who is new into trading stock market or any trading

 

[badarivt]

What preparation are you talking about? Can you please outline some instructions or rules of how to get prepared?

Any trade has to be taken with a reason. The basis could be signal from technical indicator, fundamental analysis etc. No trade should be taken without following some set of rules or logic. Learning technical analysis is recommended. However, technical analysis is not a point and shoot method where following a rule will guarantee profits. Learning when a system works and how to work the system comes with practice and HIGH cost. Without entering the waters and without willingness to lose some, profits cannot be made. But the intelligence lies in limiting loses and maximising gains. This cannot be fully taught but is learnt by experience with real money. Suggest you try 50 SMA or ATR stop loss (it works for me).

 

[stoch]

Any trade has to be taken with a reason. The basis could be signal from technical indicator, fundamental analysis etc. No trade should be taken without following some set of rules or logic. Learning technical analysis is recommended. However, technical analysis is not a point and shoot method where following a rule will guarantee profits. Learning when a system works and how to work the system comes with practice and HIGH cost. Without entering the waters and without willingness to lose some, profits cannot be made. But the intelligence lies in limiting loses and maximising gains. This cannot be fully taught but is learnt by experience with real money. Suggest you try 50 SMA or ATR stop loss (it works for me).

I use RSI momentum based signals to catch bounces use it on liquid pairs and BTCUSD with Hotforex, works good, but ranging markets eat profits. I think at least basic understanding of how to determine general trend could improve my winning ratio.

 

[Awasti_trader]

Sharing few common mistakes a new trader makes and should avoid if they want success in trading.

1. They jump straight into trading without knowledge.
2. Getting impatient and over trading.
3. Lack of proper tools
4. Follow emotional trading
5. Trading without stop loss and consider trading as gambling.
6. Thinking of getting rich very quickly
7. Not having a trading strategy

 

[Logical Trader]

Sharing few common mistakes a new trader makes and should avoid if they want success in trading.

1. They jump straight into trading without knowledge.
2. Getting impatient and over trading.
3. Lack of proper tools
4. Follow emotional trading
5. Trading without stop loss and consider trading as gambling.
6. Thinking of getting rich very quickly
7. Not having a trading strategy

You are absolutely correct buddy!
As everyone is saying, not using Stop Loss is also one of the mistakes which traders should refrain from.

 

[DreamDeal]

Not giving much attention to the learning and research part. They directly start to trade without much preparation.

Yes, you are right. Trading done without proper knowledge and skills will always give loss.