1. Unrealistic profit expectation
Unrealistic profit expectation is the common problem for novice traders as they are speculating huge profits without financial calculation with proper tested strategy.
They said that
Expectation is the root of all heartaches so if I were you, in order to have realistic predictions, enhance and practice good prediction strategy for you to prevent having miscalculations about you're expected profit. Also, accept the profit if you think that it is not that high but it is still a profit, never wish for too much that is unbelievable to achieve.
2. Misinterpreting risk
There are always risks in such type of trading as the market price is not centric to any party because the market forces allocate it. Most of the traders do not have calculative risk and strategies to control.
Risk are normal because it is not guaranteed that trading will bring you profit 100%, failure is also there and you need to deal with that. Risk management are essential for you to minimize the probability of you losing in a certain transactions. Risk is one of the conflicts that a trader always forget and not prioritizing that's why they are always vulnerable to losses.
3. Untested trading plan
Most of the times, few traders fall trapped with lucrative trading schemes, which leads them to massive loss ultimately. Thus, you should be aware of the trading plan you choose, before implementing in the live account.
After you perform technical analysis and you have predictions, you should perform and make an effective trading plan. Always test the trading plan that you've made in order to know if this will really give you profit or it will just make you lose your money. There are platforms that let you practice your trading plan so that you have a certain idea what plan to execute or apply when you have are engaging in trading.
4. Believing rumors
There are some news flashes in the market, which is not real, and traders get trapped while taking entry or exit from the trade.
Being aware about your environment or surroundings are also important because that will serve us your hint and basis of your analysis in the market. The common mistakes of traders are believing on something that has no basis or evidence. Always be updated about the news, especially the movement in the market so that you're always informed.