Hey! When we all started we passed trough some difficulties in trading. Usually we face this problems during first year of trading. Most of people by the end of year losing all of money and quit trading forever.
Basically this caused by overtrading and having no idea what to do. Like many business in our lives trading require some abilities and technics which you can study and apply to get good results. But when you are novice trade you probably don't even know where to start.
So on the pic you see basic problems and solutions to start from:
PROBLEMS: - Worried about trades all day and night This point distracts from important things and giving huge depression in your live. - Losses affecting personality and mood When you starting to losing too much, it often hard to get money back, moreover trying to recoup will give even more loss. - Mindset confusion Like every depression in our lives it confuses our abilities to think clear. - Rushing for new trades Overtrading is common mistake, causing huge losses from impatient traders/investors. - Trading assets for all of your money If you ever tried trading for 100% of your money — write me a comment! This problem causing new traders losing too much, and trading become gambling.
SOLUTION: - Plan your trades Focus on the future trades, plan your entries, take profits, stop loss. Like every business it should be planned and if something not working you have to fix it and try again. - Take small trades In trading Small is BIG, start with small trades, don't give rush, if you will not be rich till the end of year it is okay. But first learn how to trade and make sure you learned from mistakes and wins. - Focus on affordable risk Yeah, just 10% from traders have profits every month, rest of traders struggling somewhere in the middle. To make sure you will be in 10% winners, try to understand your risks before opening new trades. - Use trading system Trading system is something which suits your personality, you have to try different strategies and technics before understanding your trading criterias. But once trading system is setup, you will be fine and closing months in solid profits. - Take breaks in trading Make sure you have some time for other activities, try to plan your trading time and sometimes on the market is nothing to do, so take a breath and relax. Market won't go away :)
👍I appreciate your likes and comments below this post, lets discuss our problems in trading! 💬
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Risk management vs. Time management article
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💡 New to trading? Facing common struggles? - I've been there too.
Check out this guide for beginners:
Learn to plan trades, manage risks, and develop a winning mindset.
I'm not going to lie. I started trading with 100% of my money. I ended up tripling it in a few weeks. It was insane and it messed with my perception of the market. Shortly after that I bite the dust hard. When you triple your whole bank that fast its really not healthy and I learned that the hard way. Statistically you will get weeded out trading like me. It's just a fact. Had I been patiently trading over the year I would have had money to buy the Corona DIP and not even use leverage to get the same amount of gains. These wild insane market opportunities happen but only for the most patient traders. Where am I at now? Almost completely destroyed. But not out of the game yet I now avoid high leverage exchanges and stick to Kraken. Honestly anything over a 5x leverage should be used once in a blue moon. Unless you are some insane experienced trader stay the fuck away from anything over 5x. You think your going to make more money doing it but in the end lower leverage trades and patient gains will out perform. I think for most people who are new here you are extremely lucky to be a part of this site where pro traders will do the charting for you. You can invest your time reading on trading psychology and strategies while allowing these pro traders to share their charts. You will most definitely make money.
My last few trades at the moment I rode the 100% gain on doge train without any leverage on July 7th because of this obvious Tik Tok pump and dump scheme. Shortly after that I took my profits and threw it all on ADA even tho my entry was complete trash. (0.129 USD) 3x long it went down around 20%. But with the power of my 3x and patience I was honestly not worried and knew it would come back up after looking at many charts and having a decent understanding of market psychology. I am now in profit even though its small I intend on holding this trade for up to a month. This is perfect for me because Bitcoin has been a real bitch to trade at the 9k levels and it feels like its way out of my experience to make profit on it. When Bitcoin establishes an obvious trend up or down then I will feel more confident trading BTC again. Hopefully you guys take this small bit of experience and learn something from it because this market can absolutely destroy you in a way you thought wasn't possible.
Moha_arlaadi
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@C622 great
ArShevelev
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@C622, yes
RocketBomb
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@C622,
PolarHusk
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@C622, nice, thanks for sharing this
HakoneDream
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@C622, Nice experience! Best lucks for you future trading.
BR4Di
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Nice. And i would add, if permitted, DO NOT BE EMOTIONAL WITH MONEY, IT WILL DESTROY YOUR LIFE.
Artem thank you for sharing these thoughts. Very useful. My story as a newbie is the following. I'm a little more than a year into trading CFDs. With leverage. My calendar year ended with a 112% profit. I withdrew my original capital and some of the profits early in 2020 and keept trading with the remaining of the profits. Then the quarantine came and stayed out of trading for MAR-APR. On MAY when I decided to come back, I got lucky and managed another 40% profit. But here starts the interesting part with human nature where you get carried away and you have the illusion that you know the game. Also it is the point where arrogance kicks in and I got carried away doing very basic mistakes like not put SL on my trades, made trades of 10-12% of my capitals etc. So in JUN I lost half of my remaining capital (thank God this is from profits) and the trend continues in JUL as I totally lost my confidence and I question my judgement. So now I'm struggling to stay in the game. The lesson I learned is what you mention. Have a well thought plan and follow it. It's the only way and take baby steps while fine tunning your trading pitch. Success is sometimes more dangerous than a simple failure as it leads to disaster. Thank you once again for this Artem.
Paulzazdilley
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Yup. Nailed it. I’ve been through all of those problems. After years of over trading I’m learning to have better plans and not force trades that don’t fit my criteria. After a big win it’s very important not to get right into another trade. Stay humble after wins or the market will humble you!
My last few trades at the moment I rode the 100% gain on doge train without any leverage on July 7th because of this obvious Tik Tok pump and dump scheme. Shortly after that I took my profits and threw it all on ADA even tho my entry was complete trash. (0.129 USD) 3x long it went down around 20%. But with the power of my 3x and patience I was honestly not worried and knew it would come back up after looking at many charts and having a decent understanding of market psychology. I am now in profit even though its small I intend on holding this trade for up to a month. This is perfect for me because Bitcoin has been a real bitch to trade at the 9k levels and it feels like its way out of my experience to make profit on it. When Bitcoin establishes an obvious trend up or down then I will feel more confident trading BTC again. Hopefully you guys take this small bit of experience and learn something from it because this market can absolutely destroy you in a way you thought wasn't possible.