Common Trading Mistakes & How to Avoid Them
6 min read · Feb 24, 2026
Common Mistake 1: Blind Trust in Indicators
If you enter based on a single indicator signal, you can miss market context such as trend, volatility, and volume.
- Fix: Check price structure (highs/lows) first
- Fix: Use indicators only for confirmation
Common Mistake 2: No Stop-Loss
A trade without a stop can damage your account in a single move.
Common Mistake 3: Revenge/Emotional Trading
Averaging down and overtrading right after a loss statistically worsens account performance.
Practical Checklist
- Did you write stop and target before entry?
- Is your risk-reward ratio at least 1:2?
- Did you evaluate price structure instead of trusting indicators blindly?
- If you had recent consecutive losses, did you reduce trade frequency?