Biggest mistake in FX

[Ralph]

There's a saying, "Don't put all your eggs in one basket." This very much applies to trades when we want to see results but not lose all money at the same time. Some would make the mistake of not diversifying, but diversifying too much isn't good either. Finding a balance is all it takes to make smart moves in a trade. Why? Holding positions in various currency pairs increases the odds of exposure to assets performing well in different market environments. Plus, it gives you a chance to explore different trading styles.

[Leander]

Can't agree more!

[ThomasFernandez]

Absolutely

[radex78]

The biggest mistakes in trading in my opinion are greedy, overtrading without a proper plan, and fear of missing out.

[bigxy]

First of all, plan the trade and then trade your plan that is simple in my opinion.

[radex78]

Plan your trade and trade your plan, yes this is true, traders must make a clear trading plan and implement the plan. If one trading plan has been fulfilled, wait for the next day before making a new trading plan, because the market is easy to change, the number of trading increases, the profit does not necessarily mean the same, even losses may occur.

[boltushkin]

One of the biggest mistakes in forex trading is overleveraging, where traders use excessive leverage to amplify their position sizes beyond their capital limits. This increases the risk of significant losses, as even a small adverse market movement can wipe out a large portion of the account balance. Proper risk management and understanding the dangers of high leverage are crucial to avoid this common pitfall.

[eldridgemagdalena]

Of course

[boltushkin]

I think it is incorrect to talk about the single biggest mistake in trading; usually, losses are caused by a chain of wrong decisions or actions that do not seem particularly critical. Starting from an inadequate level of working capital and ending with the wrong choice of timeframe for analysis. However, probably the quickest way to wipe out an account is by using high leverage and trading without a stop-loss.