How do you riskt to lose everything?
"Ways to Lose Money Trading
Trading before you're ready (not taking the time to learn).
Trading based on news and emotions (or hope).
Trading with money you can't afford to lose.
Trading with insufficient capital (too small of an account size)
Trading based on "can't lose" tips, message boards and forum board "hot stocks", TV show "best buys", friends advice, gurus, junk email picks; Basically trading based on any info from someone else that doesn't have any real basis.
Using any "Green light = BUY, Red Light = SELL" simple, can't lose box trading system. These auto-mated "can't lose", made for TV, systems do not work. Nuff said.
Thinking that some magic technical indicator is the way to trade. Technical indicators provide information, but are not crystal balls.
Picking and choosing any strategy that you come across. Then using the next one you come across. Then...
Trading a system that is not right for your personality.
Over complicating trading. Really, simple works.
Ignoring money management (trade size, stop/losses, targets, etc.).
#1 reason how to lose money trading: Trading without a well thought out, thoroughly researched, thoroughly tested, rule based, trading plan. Without a plan, plan to fail."
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