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Why 90% of Trader Fail

Hello friend welcome to the #Traderlifestyle

I hope you have read my last blog about Appreciate Yourself When You Get Losses and thank you for share this blog in your trading community.
now today I will talk about the very importent topic, which I important for every trader in which their beginning trader career. why 90% of traders fail in their starting trading career, what are the mistakes they do, what is the importent thing they should learn before trading.
so here some importent point which is importent to learn before trading.
1.no risk management; as you know that trading is all about risk management, 90% trader fail because they don't have risk management and if I tell you the minimum risk-reward ratio for the consistent trader is 1:3 it means you are risking 1 rupee for making every 3 rupees the advantage of this risk-reward ratio is if you have 50% trading accuracy and you hardly follow 1:3 risk-reward ratio at the end of the month you will be profitable, your profit and loss position will be positive let's take an example, suppose you are taking 20 trades within the month so 10 wins and 10 loss (trades will be right because of 50% trading accuracy)  when you win you will earn 3 so (3*10)=30 profit when you lose you will loss 1 so (1*10)=10 loss, so your profit is 20 rupee still this is the power of risk-reward ratio and in the trading risk-reward ratio is very important don't do a trade if you don't have a preferable risk-reward ratio.
2. oversizing position;   it is second importent things for the trading is oversizing trading I had seen most of the time traders make huge losses because of the oversizing their trading positions, I am telling you about my this months trade my position is also gone over I have a list of the trades few long few short and because of the correlation of the different currently pair .so that's why I get losses in this month in my first ween trade of this month .and  because of the losses I learn three importent things.
  • Oversizing destroys equity by triggering catastrophic losses that cannot be overcome
  • he problem starts with a misconception that you need to trade large size in order to make money or to compete with the market's
  • Get control by ignoring margin when working through the details of your intended entry.
so don't oversize your position 
3, no stop loss some time trade loss because they don't use stop loss in their trading position but stop loss is very importent yaa I agree it gives sometimes a pain but full-time gain, stop-loss is the biggest teacher for a trader, don't rade without stop loss, a stop loss meant to protect you to yourself. yaa I know sometimes it touches your stop loss then it gives the full target
4. no strategy this is the fourth important point for the trading, trader make losses because they don't have any strategy, as I am a price action trader I always forecast chart then I wait for indication then confirmation and then finally I initiate trade so I have a full planed trading setup when I have to enter in trade and when exists so don't trade without a strategy and "trading with no strategy give you a painful lesson, don't trade without your trading plan" be focused be consistent and be a profitable trader.
5, no education  I had seen lots of traders who don't know  any kind of technical term of the forex and they start trading and investing before any kind of study these types of people make huge losses from the  market and as you here the trading  is gambling, it is not actually,  people make losses because of there own mistakes and then these types of people say trading is the speculation, it will be speculation when you trading without any study of technical analysis, without any experience,
"Learning is the key, to be a consistent trader takes everyday study"

so, friend, there are the major mistakes trades do in there bigging of trading career and make huge losses. so if you are the trader I hope this blog gives you some value, and if you really like this blog please share this blog with your trader community.
you can also follow me through TRADING VIEW  in which I share  current trading opportunity and also share ideas behind the trade
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😊Stay Tuned😊
💗Happy Trading 💗

Comments

Mirror said…
Thank you so much for the lots of knowledge give me thank you so much sir
30 March 2020 at 22:50
Shubham Tamrakar said…
your welcome
stay tuned you will get more valuable content in further days
31 March 2020 at 21:09
Aashi said…
Explained very well... Gonna worthfull for every beginner
1 April 2020 at 02:14
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