It is not infrequently novice that traders want to get large profits and get rich quickly in capital market trading activity. Even though, professional traders just need a lot of flying hours in high learning. Sometimes professional traders have experienced ups and downs to losses. Of course these professional traders besides having a lot of experience, they also get commensurate results.
Then as a beginner trader you should take a lot of knowledge and lessons from the experience of professional traders. Continue to process despite having to experience difficulties and losses. Well, here are some things that should be avoided by novice traders.
1. Relying on speculation
Trading is a get rich quick business but a condition of risk. But in reality there are still traders who only rely on speculation by risking capital which is very risky to lose. This method of trader is commonly called gambling, where traders expect to make huge profits in a fast way without going through deep analysis.
2. Unable to control emotions
In many ways, emotional control is one of the important psychological factors in decision making. So does trading. Challenges the stock market conditions experience instability and turmoil at any time, certainly testing the emotions of traders. Emotions that are drained when trading will certainly trigger hasty decision making just because they want to immediately cover losses with more profits on trading. But you should do a thorough analysis to minimize the risk of your loss.
3. Doing without analysis and planning
An action carried out without careful thought and planning will certainly be at great risk. This also applies to trading, where businesses that have the potential to make large and rich profits are not as easy to think about. The higher the profit is certainly worth the risk. Then when carrying out trading, novice traders should have the right analysis and planning, and of course it is well planned related to the selection of entry, exit, cut loss, and take profit positions. With the correct analysis, traders will have a greater chance of profit, compared to traders who are only based on feeling when taking steps.
4. Rush to use a real account
Generally in trading there is a demo account that is used by novice traders in learning before switching to real estate. With this demo account, novice traders can learn to analyze trading strategy strategies, until they are trained and ready to trade with real accounts. But apparently, not a few beginner traders feel they are able to run a real account just because it has been successful several times making huge profits when practicing with a demo account.
Novice traders sometimes want to immediately obtain real profits from a real trading account, when in fact, running a real trading account is full of challenges and requires high flight hours in making analysis of trading strategy steps.
5. Don't set stop loss
Stop loss is a tool that serves to help traders limit the losses that might occur. Then traders, especially beginners try to set this tool when going to trade so as not to experience losses until the capital runs out without realizing it.
Stop loss tools are very useful for traders to stop the step for a moment when experiencing losses, then make a strategy plan for the next step. You can imagine if the stop loss is not used, then it is very possible you lose all your capital without realizing it.
6. Don't update information
If novice traders don't update stock market and economic information globally then of course it will have an impact on traders' strategies in taking steps. Stock market charts are strongly influenced by global economic conditions, so as a novice trader you should always find out the latest information
7. Easily fooled because of bonuses
Do not be easily fooled by bonuses or quick profits, and do not pay attention to your trading funds so that your capital is scorched quickly. then you can manage money trading through leverage which is available by the broker.
8. Want an instant way
Although trading is one way to get rich quickly, but don't believe if the process is easy. Of course the results are always in accordance with the effort.
9. Don't trust experts too much
Experts or professional traders, of course, already have a lot of experience. Learning from these experts will, of course, make it easier for novice traders to move forward and so as not to experience the same mistakes as the experts did before.
10. Mistakes in interpreting fundamental releases
Fundamental releases affect price changes. Then you should not ignore this even if you have another focus.
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How can we success in trading activities? Learn more to the Richest Traders in the World as below: Among thousands of professional traders around the world, there are a few elite traders who have their own class and become legends. Thanks to their abilities, they become the richest and most successful traders in the world. So who are the 5 richest and most successful traders in the world today?
George Soros is one of the most legendary traders, whose fame is known even by ordinary people. This Hungarian-born entrepreneur is the founder and owner of Soros Fund Management. George Soros has a wealth of USD 8.3 billion in February 2020.
The long-term success of Soros as a trader is also greater than the record return of 33% of the annual Quantum Fund for more than 30 years. His philanthropic activities were highly valued and his political statements caused much controversy even throughout the world. In essence, Soros is the top of the top traders all over the world.
Ichan is one of President Donald Trump's advisers. Before becoming an advisor, he was a tycoon who controlled Icahn Enterprise and American Real Estate Partners. In 1978, Icahn was known to US citizens as a wealthy person who liked to acquire a majority stake in a company that was going bankrupt. Call it Trans World Airlines in 1985. After the acquisition, Icahn will improve its structure until its valuation increases.
Currently, Icahn is also ranked 38th in the ranking of the richest people in the world according to Forbes with a total wealth of 16.7 billion, or Rp 241 trillion.
Well, even though you are not as great as the five top traders in the world. Making their success stories as inspiration is the path to success in the field of investment and capital market trading