STOP OVERTRADING 🛑

YOU DON’T HAVE TO TRADE EVERY DAY ! Overtrading doesn’t make you a better trader; it puts your capital at risk. Two weeks ago, I met a rookie trader who was riding high on the market’s momentum. He had over a dozen positions open at once ( insane, 3 at risk to me is dangerous), yet he was feeling confident because everything seemed to be working in his favor. I warned him about the coming volatility and advised him to de-risk his positions. He didn’t listen. A few days later, after the market corrected aggressively, he went dark—post-loss depression hit hard.

You can’t control the market, but you can control your risk. Overexposure is a silent account killer. In my copy trading account, I never risk more than two positions at once. Patience, discipline, and risk management are the foundation.

I highly recommend LR Thomas’s book on overtrading. Here are some principles I’ve learned from it:

1. Create a Trading Plan – Define entries, exits, and risk limits. Stick to it.

2. Set Goals – Realistic goals keep you focused and disciplined.

3. Use a Journal – Track trades, emotions, and patterns to learn and improve.

4. Manage Risk – Proper position sizing and stop-loss orders are key.

5. Control Emotions – Practice mindfulness to avoid fear and greed.

6. Limit Trades – Fewer, well-thought-out trades often lead to better results.

7. Avoid Noise – Tune out distractions and stay focused on your plan.

8. Take Breaks – Rest keeps your mind sharp and avoids burnout.

9. De-Risk: Limit open positions to one or two unless the stop-loss is at break-even after taking the first profit. Only open new positions once de-risked.

By applying these strategies, I’ve cultivated consistency, and my trades reflect it. Follow my copy trading account to see the difference discipline makes. Click here to copy and 🚀💰. Cheers, and happy trading!