10 Biggest Reasons Why Traders Fail – How to Not Fail As a Trader (Day Trading and Swing Trading)
If you have been researching trading-related topics for some time, it’s very likely that you’ve heard the statistic that 90 percent of traders, or even more, fail in trading and lose money. According to the same statistic, only some 10% of all traders make money consistently, while a 10% break even.
The biggest reasons why traders fail usually are that they lack an edge and don’t have a trading plan. However, there are several more reasons that could play either a big or small role in determining the failure rate of traders. Some of these include psychological aspects as well as poor money management.
In this article, we’ll look at the biggest reasons why traders fail, and what you can do to increase your chances of becoming a profitable trader. You’ll also discover what trading style you should choose to maximize your chances of not falling into the losing category.
Reason 1: Not Having a Trading Plan
Reason 2: Not Having an Edge
Reason 3: Being Undisciplined
Reason 4: Too Big Position Size
Reason 5: Random Reinforcement
Reason 6: Not Recognizing that Markets Change
Reason 7: Not Keeping a Trading Journal
Reason 8: Having Unrealistic Expectations
Reason 9: Not Coping With the Psychological Pressure
Reason 10: Not Putting in the Hard Work That’s Required
Too many traders believe that trading is easy, and that money can be made instantly in the markets. As a result, trading has come to attract far too many venture seekers who just want the money, without the hard work.
The Best Way to Avoid Becoming a Losing Trader:
- Take a Trading Course
- Avoid Day Trading
- Work Hard in doing market research
To know how you can be a Successful Trader-- cutt dot ly/BNg7Fv2 (Copy and Paste this in a new tab and Remove DOT with actual . )