What's the worst threat to a crypto trader?

[Blawpaw]

There are several threats a crypto trader has to face. The worst part of being a trader IMO is the emotional factor control. Similar to a gambling addict, a trader experiences the same rush when doing winning trades. However, in trading, you need to know how and be prepared to lose so that you can later win. Having a defined strategy that was previously tested and proven successful and then sticking to the plan is key. But that is also when the worst part comes. It's when a trader needs to control his emotion and let the plan roll out as it was defined even if it means you are going to lose.

According to Steve Burns, there are 10 main Trader’s Worst Enemies:

Stubbornness
Arrogance
Opinion
Bias
Euphoria
Anger
Adding to a losing trade
Chasing a trade
Trading too big
Their self

Burns tries to understand the process of trading by breaking it down into 10 enemy stages that the Trader needs to overcome. Would you add any other?

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[zonefloor]

To me, the biggest greed and evil is always the greed to make more money. Because even though mankind has made a lot of profit, it does not stop. He is constantly waiting to earn more money because this will increase even more. Afterwards, that crypto currency experiences declines and then, sometimes, it has to sell at a loss. I've had these, and I still do, sometimes. I think crypto investors should get rid of this greed.

[Blawpaw]

To me, the biggest greed and evil is always the greed to make more money. Because even though mankind has made a lot of profit, it does not stop. He is constantly waiting to earn more money because this will increase even more. Afterwards, that crypto currency experiences declines and then, sometimes, it has to sell at a loss. I've had these, and I still do, sometimes. I think crypto investors should get rid of this greed.

I guess we should say that greed is the root of 98% of the losses. So yeah, we could include Greed to Burn's enemy list. There is also something that is directly tied to emotional response but is generally triggered by outside factors such as new or FUD, and that is the fear of missing out, aka FOMO. So, FOMO should also be added to Burn's List.

We now have 12 Trader's Worst Enemies:

Stubbornness
Arrogance
Opinion
Bias
Euphoria
Anger
Adding to a losing trade
Chasing a trade
Trading too big
Their self
Greed
FOMO

[Cee2]

great list, I would add the following two, this can also apply to anything in life

No accountability - everyone will make mistakes and taking accountability is the stepping stone to learning otherwise you will repeat the same error
poor risk management - you will never "make it" not taking higher risks but you will also lose it all taking high risks all the time, have a healthy distribution

[Blawpaw]

great list, I would add the following two, this can also apply to anything in life

No accountability - everyone will make mistakes and taking accountability is the stepping stone to learning otherwise you will repeat the same error
poor risk management - you will never "make it" not taking higher risks but you will also lose it all taking high risks all the time, have a healthy distribution

I hear you mate! added. These are actually quite important to consider, especially given the fact that a Trader should always have a golden rule as well as a defined strategy. This is achieved by finding a strategy that proves successful and then testing it to further prove it is successful. Not having accountability makes you go past accepting your mistakes to gather knowledge enabling you to avoid making the same mistakes all over again.

Risk management is also something that is an important part of trading. A professional trader always has a plan that guides him to what techniques should he apply to different circumstances and which red flags can be indicative of big movements. When a trader is not having into account its stake and the risk involved and plays out as if it was gambling this is poor Risk Management.

So, two more added! We now have 14 Trader's Worst Enemies:


Stubbornness
Arrogance
Opinion
Bias
Euphoria
Anger
Adding to a losing trade
Chasing a trade
Trading too big
Their self
Greed
FOMO
No accountability
Poor risk management

[tabas]

I have always seen the post of this guy being quoted or screenshotted by some pages and posting it on their own pages as if they're the ones who has found him for their content.
Well, greed is what makes the most from everyone, not only traders but also investors. When we're not satisfied with the profit that we've made, that's making us want to have more and the results at most times don't go from what we're expecting and likes.

[Bitcoin_Arena]

Greed almost sums up them all or at least 50% of what you mentioned if you have ever traded
Stubbornness is a result of being greedy
Bias is a result of being greedy
Adding to a losing trade is a result of being greedy
Chasing a trade is a result of being greedy
Trading too big is a result of being greedy
FOMO is a result of being greedy
Poor risk management is a result of being greedy

[babygun]

To me, the biggest greed and evil is always the greed to make more money. Because even though mankind has made a lot of profit, it does not stop. He is constantly waiting to earn more money because this will increase even more. Afterwards, that crypto currency experiences declines and then, sometimes, it has to sell at a loss. I've had these, and I still do, sometimes. I think crypto investors should get rid of this greed.

All investors have that a bit, I think. When something goes up (a stock/crypto), you will keep thinking it will go up and up as you get creedy and always want more something. It is very hard to set up a goal where you want to sell something and stick to that.

[Strongkored]

All bad things have been summarized in the word greed, and unfortunately almost all traders have it and sometimes do not realize that greed is taking over when making decisions, for example when they no longer follow the money management that has been made because they are greedy, change trading strategies because they are greedy do not feel enough with the profit that has been obtained and so on.

[kamvreto]

Everyone says that greed is the main problem that poses the worst threat to traders and it is true.
but apart from FEAR and GREED in trading is also a major factor for traders, especially those who are novice traders.

To Balance fear and greed is an absolute necessity that you need to have. Otherwise, no matter how great the trading you do, you will never get a profit.

here are some tips that you can do in balancing FEAR and GREED:

• Your success is greatly influenced by how to balance the role of fear and greed in trading. People who have good self-control will easily do it.
   However, if it is difficult to control it, you can stick to the discipline of following a trading plan.
   Analyze and determine which coin to buy, determine the take profit and stop loss points.
   Do this with discipline: Plan the trade and trade the plan.

• Fear is intense influence how you manage cash flow. If you use debt, margin or spend all your wealth in trading,
  you can be sure you will be very scared if the price suddenly drops.

• Realize profit if it is profitable according to your target. Be grateful for what you have. Do not be too eager to get a lot of profit.
  There is still plenty of other time to trade. Determine your take profit point. Stop trading after profit if necessary.

• It may be a cliché, but you can start trading with prayer. Aren't you trying to make money lawfully, why not ask Him for guidance?
  Trust me, there are many things you can't control in life.

[Jawhead999]

The worst threat to a crypto trader is when they don't know what's the coin they trade and just want to get quick profit by pump and dump scheme. This is not a trading, but they're trading by believe something miracle will happen since they're not doing any analysis, they're hope the coin will pump by the developer or whale is doing volume manipulation. Many people will lose by doing this since they're gambling, not trading.

[SadGoodbye]

To me, the biggest greed and evil is always the greed to make more money. Because even though mankind has made a lot of profit, it does not stop. He is constantly waiting to earn more money because this will increase even more. Afterwards, that crypto currency experiences declines and then, sometimes, it has to sell at a loss. I've had these, and I still do, sometimes. I think crypto investors should get rid of this greed.

Greed is not something that anyone can easily get rid of, it's part of us all, you have to get disciplined and stick with been discipline to be able to control your greed, when you are in a high profit take it, when there is a big time it's time to buy.