Quote from: rhodelmabanal on September 19, 2024, 06:59:25 PM

Quote from: laubeaud on June 23, 2024, 11:58:23 AM

From my experience, here are 4 reasons I discovered:

1/ Lack of Discipline— a) Not sticking to one strategy, b) not respecting your trading rules, c) not sticking to your plan.

2/ Lack of knowledge—Inadequate understanding of the market, trading strategy, financial instruments, and fundamentals can lead to poor decision-making.

3/ Not having a mechanical trading system—This leads to emotional trading. Decisions driven by emotions like fear and greed rather than rational analysis result in significant losses.

4/ Overtrading—Taking many trades will affect your decision-making ability and lead to poor decisions.

If there are other reasons why traders lose money, share them with me.

There's a lot of reason but i think the number one reason is the emotion, if traders cant control the emotion the greed will follow and if the greed follow it will affect the decision that we make and it will end up losing, this is normal we can all experience this kind of trouble that is why traders that has so many experience mostly earn than the new trader because they can already control thier emotion above the market condition.

Yes, in most cases, the most common factor that triggers losses is usually emotions, especially for novice traders who do not know many things to avoid and also especially for traders who do have slightly different personalities, such as being easily provoked when things do not always go according to plan or expectations.
Emotions can lead a trader to two possible impulsive decisions, such as greed when they succeed in making a profit and continuing it based on thoughts such as "this is the right time to be an opportunity" to cover the amount of losses they have previously experienced.

Or continuing to trade after experiencing a loss due to being unable to accept the fact that they lost money based on despair and emotions to take revenge on the market, and in the end both scenarios will only lead a trader to greater losses until they experience MC, and for the problem of whether they will be able to overcome such problems or not I think it comes back to each of them, simply if they want to learn from the experiences and mistakes they have made then they should not repeat the same mistakes in the future.