1, Fear of stop-loss, fear of losses
The usual reason is that traders fear failure and are unwilling to accept losses. Such traders often have strong self-esteem.
2, Early exit +
Once closed, there will be no more anxiety. The reason for anxiety is fear of position reversal, and traders need quick reassurance.
3, Wishful thinking
Traders do not want to control their trades and do not want to take responsibility for them. They lack the ability to accept reality.
4, Anger after losses
Feeling trapped by the market, wishful thinking about a specific trade. Being smug when successful or demanding the market prove them right can lead to losses.
5, Trading with money one cannot afford to lose or borrowed money
Treating a particular trade as the last lifeline. Traders who want to succeed or fear missing opportunities often fall into this trap. Traders who do not follow discipline and are greedy will fall into this trap.
6, Averaging down the cost
Traders do not acknowledge trading losses and hope to recover. Such traders often have strong self-esteem.
7, Impulsive trading
Traders are easily excited, prone to addiction, and enjoy gambling. Such traders always trade based on intuition. When there are no trades, such as on weekends, they become restless and obsessed with trading.
8, Ecstatic after profitable trades
Traders are smug, thinking they can control the market.
9, Account funds cannot appreciate - very little profit
In this situation, traders lack the motivation to make a profit, usually due to psychological reasons such as lack of confidence.
10, Not adhering to their trading system
Traders do not believe their trading system is truly effective, or they have not seriously tested it. Perhaps the system does not match their personality, or they need excitement while trading, or they believe they cannot find a successful system.
11, Over-predicting trading outcomes
Traders fear losses and mistakes, resulting in helplessness. Perfectionists are prone to problems; they want certainty in outcomes and do not realize that losses are part of trading. They do not accept the risks involved in trading or the unknown results.
12, Incorrect trading volume
Traders dream that this trade will make money, thus ignoring risks and the importance of capital management. Perhaps traders do not want to take responsibility for risks or are too lazy to calculate appropriate trading volumes!
13, Overtrading
Traders want to conquer the market, possibly due to greed, wanting revenge on the market after losses. This is similar to impulsive trading, see point seven!
14, Fear of trading
Without a system, traders feel uneasy about risks and unknown outcomes. They fear losing everything and being ridiculed. Perhaps traders need self-control and lack confidence in their trading system or themselves.
15, Impatient on non-trading days
Due to psychological influences such as anger, fear, and greed, a trader's emotions fluctuate. Traders care too much about the trading results and do not study the trading process and relevant techniques. Traders are overly focused on money. Unrealistically high expectations.
16, No distinction of varieties
Wanting to operate on any variety, following signals from any variety for fear of missing out on any signals. In choosing varieties for trading, there are two principles: The first principle is "Do not trade unfamiliar varieties and markets." That is, the technical trends of the markets involved must fit within their technical analysis framework; the second principle is "Do not trade in inactive markets." Because the worse the liquidity, the more easily the price movements can be manipulated, and participating in such markets is akin to walking into a trap. Trading varieties should preferably have good liquidity, active trading prices, and genuine natural trends.
17, Overly obsessed with pursuing entry timing
Desiring that once they enter a position, the price can immediately move away from cost and yield floating profits. If they get stuck temporarily, it becomes very uncomfortable, and they want to cut losses immediately, overly pursuing a perfect trade. Theoretically, if trading techniques could precisely solve the timing of entry and exit, self-management would be completely unnecessary. This is like a martial arts master being powerful enough to defeat all opponents. However, in reality, there is no such martial arts master, as even the strongest will encounter equally strong opponents. Similarly, even the greatest traders have limitations and flexibility in their trading techniques.
