Trader Dale Volume Profile
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The 10 most common trading mistakes you should avoid<br />
Some people say that they have a "mental SL" which means that when the price hits a certain<br />
level, they will manually close their position. Most of those people won‘t be able to admit they<br />
were wrong and they won't close the trade when the time comes. Or they will be sooner or later<br />
surprised by unexpected spike move against their position. The worst case that can happen is<br />
some totally unexpected bank intervention, natural disaster or significant political move which<br />
will wipe their account clean in few seconds before they even notice that something is going on.<br />
#7 Entering a position without a plan<br />
When you open a position only because of your gut feeling or if you<br />
open it on the spur of the moment, you are entering a position<br />
without a plan. Every trade must be carefully planned. You need to<br />
know where your PT and SL is going to be, you need to have a strict<br />
position management and you also need to stick to your money<br />
management. Benjamin Franklin once said: "By failing to prepare,<br />
you are preparing to fail.“ Quite fitting, don’t you think?<br />
Novice traders often enter their positions without a plan when<br />
there is fast price movement. This occurs often after the macro<br />
news. Those traders see that the price is moving in one direction<br />
fast and they feel an urge to make some quick and easy money from<br />
the rapid movement. What usually happens is that the price turns and they take a SL or they are<br />
stuck in a trade which they have no clue what to do with.<br />
#8 Following other people’s ideas blindly<br />
“By failing to<br />
prepare, you are<br />
preparing to fail.“<br />
-Benjamin Franklin<br />
It is a good decision to learn from somebody more experienced, to let them lead you and teach<br />
you. Actually, it is probably the best way to learn to trade. However, there are countless<br />
inexperienced people publishing their stupid trading ideas all over the internet every day.<br />
Probably the most dangerous are broker analysts who publish their trading ideas in daily or<br />
weekly emails or on their broker's websites. Why are they most dangerous? Because people tend<br />
to believe those guys. They have all the fancy stuff like big brokerage company, fancy emails,<br />
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