Here is the link.
1:37 Not planning your trades 4:08 Focus on trading PNL, not trading the charts 7:30 Not spending enough time paper trading 9:39 Scaling up trading size too quickly 11:32 Following chat room alerts to buy or sell stocks
Are you a beginner day trader and making these COSTLY mistakes? 1. Not having a trading plan: Many beginners jump into hot stock due to FOMO without knowing why they were buying, why the stock was running, nor their risk reward and exit plan. This is also known as chasing and will easily lead the trader to buying the VERY TOP. 2. Over Trading, which leads to Revenge Trading: Instead of trading according to their plans and the chart in front of them, many traders are trading their PnL (profit and loss). This will lead to over trading, then emotional trading, and finally revenge trading. I have blown up my trading account this way before due to emotional trading. 3. Not Paper Trading: Paper trading is basically risk free market screen time. Day trading beginners need to learn broker interface, how each stock reacts, and practice your technical analysis on LIVE charts. Paper trading will allow you to gain market screen time and prepare your mind emotionally for the ups and downs of stock trading. 4. Scaling up share size too quickly: When I started making $100 a day, I was so excited. So much so I wanted to jump into making $1000. I quickly learned that sizing up x10 means escalating the emotions as well. Psychologically, I was not ready for x10 the stress. It's very important to take your time when sizing up. 5. Following chat room alerts! You want to become a profitable day trader? Stop following others. This is perhaps the DEADLIEST trading mistake I see beginners do. Many of these trading chat rooms pump the stock up and dump the shares on unsuspecting beginner traders. 🖥️My Stock Scanners & News feed: Benzinga Pro FREE 14 day trial (use code "HUMBLEDTRADER" to get 25% Off ) http://bit.ly/2KXeAqH Trade Ideas Scanner (use code "HUMBLED15" to get 15% Off) https://lddy.no/m523
Actionable items
What I like to do is to remember those mistakes one by one. I already learn the lesson after I took loss over $6,000 dollars of my loss on August 31, 2020. It is only less than two weeks, I changed from one day $600/ gains, but I decided to expect more gains, with $1000 dollars loss, $2000 dollar loss, until $6000 dollars gains. I understood that my emotion got in my way. I did not know what I do. I am in the gamble of stock market.
The institutions like to make Canada oil stocks I bet on Su.TO, IMO.TO, HSE.TO and CVE.TO go down another 10-15% percent. I cut loss on those $6,000 dollars. But I still went back to purchase $20,000 last Friday to bet again.
Next Monday will have 5% to 6% loss when market opens. That is the game wall street likes to play. It is not easy world to hold 1000 shares of IMO.TO or SU.TO sotck.
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