Dangers of trading

[Awaklara]

To navigate these dangers, traders must educate themselves, practice sound risk management, and exercise discipline in their trading activities.

it's all good insight and warning for beginners looking to start trading. but it can also make novice traders afraid to start their trading. maybe you would be more careful. but it can also give fear to beginners who actually get doubts due to their lack of experience to start with.
because not all novice traders will understand the risk management of the trades they make. Indeed, it would be better for novice traders to have a mentor who directs their initial trading with strategies that they can understand.

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[Victorik]

There's risk involved in all of man's endeavors, not just related to trading.
But I quite agree with you that you need knowledge before getting involved in trading. Moreso, you also need to trade with what you can afford to lose, because the market can turn south.

Apart from being able to bear losses, someone who has started trading must also be able to be patient so as not to panic sell when he is in a loss condition. Because when he doesn't sell at a loss or in conditions that make him lose after selling, he is a person who is quite tough in being patient because he can still survive and will get more returns when he encounters better conditions for what he is trading. Because apart from knowledge and strategy, every trader also needs patience so that they don't easily experience losses when market conditions experience bigger changes.

I agree with you. And also he should also know when to stop loss, so he doesn't continue losing too much. And all of these require knowledge, time and maturity which can't happen over night.

[Victorik]

There's risk involved in all of man's endeavors, not just related to trading.
But I quite agree with you that you need knowledge before getting involved in trading. Moreso, you also need to trade with what you can afford to lose, because the market can turn south.

no one in this world can escape from risk, so risk when trading is a very natural thing that can be experienced by everyone who tries to become a trader, currently there are many videos or tutorials that explain the best steps to reduce risk when trading.  trading, and knowledge like that is something that every trader must have, especially beginner traders, remember that trading is an activity that requires intelligence, a lot of capital is not that important, if you have good skills then you can make profits quickly.

Let me start by asking you. Are you a trader? If yes, how many of these videos and tutorial you see online have you watched and applied In your trading?

Some of these so called tutorial online are half-baked and relying on them could be harmful

[Victorik]

There's risk involved in all of man's endeavors, not just related to trading.
But I quite agree with you that you need knowledge before getting involved in trading. Moreso, you also need to trade with what you can afford to lose, because the market can turn south.

no one in this world can escape from risk, so risk when trading is a very natural thing that can be experienced by everyone who tries to become a trader, currently there are many videos or tutorials that explain the best steps to reduce risk when trading.  trading, and knowledge like that is something that every trader must have, especially beginner traders, remember that trading is an activity that requires intelligence, a lot of capital is not that important, if you have good skills then you can make profits quickly.

It is a mere fact that a trader must understand how trading works. We can earn profit from trading but we also suffer losses if we get wrong especially if we have no knowledge about this. A reason why we did not rush to enter trading nor we would think about earning fast but instead, make it a priority to learn it first. Many people got a huge mistake from thinking that trading will be a way to becoming rich because it was not that easy, you may be earning today but can't be sure of the next day.

There are different aspects of trading; one that is common is spot trading, and you might not need too experience trading this, but when it comes to futures, I often tell people to ensure that they absolutely know what they are doing before venturing into that.

[Baki202]

I heard that like 80% or even more of the traders loose money and that the rest doesn't make so much money that it's worth investing the time instead of a normal job Except you belong to the top 1% of the traders or so

I see how many people complain about trading, despite the fact that holding and stocking for rainy days is more advantageous, so to be on the safe side, I will just carefully buy and keep when I eventually have money to buy, and if I have some to teach me trading better, I will consider it if I have money to buy. but from how I see the market bitcoin is not for kids.

[tvplus006]

There are different aspects of trading; one that is common is spot trading, and you might not need too experience trading this, but when it comes to futures, I often tell people to ensure that they absolutely know what they are doing before venturing into that.

Trading on the spot market does not guarantee you a profit, since in the end it will depend on you when to buy a coin and, accordingly, sell it. And this is the most difficult, since most traders do the opposite in practice: where they need to sell, they buy and, accordingly, where they need to buy, they sell.

[Victorik]

There are different aspects of trading; one that is common is spot trading, and you might not need too experience trading this, but when it comes to futures, I often tell people to ensure that they absolutely know what they are doing before venturing into that.

Trading on the spot market does not guarantee you a profit, since in the end it will depend on you when to buy a coin and, accordingly, sell it. And this is the most difficult, since most traders do the opposite in practice: where they need to sell, they buy and, accordingly, where they need to buy, they sell.

I Never said spot trading guarantees profit. But I think all forms of trading requires experience and expertise to be able to sure of limited loss.
Trading generally is not for novices

[Ahli38]

Not only in trade but in all things including investment or even in business. All of this can be very dangerous and can cause financial losses if we do not have insight and expertise in this field. So, to be more precise, what is dangerous is ourselves or the actors who enter a field (in this case trade) without having any preparation. Both in terms of insight, mentality and capital. Well, before entering into trading, the first thing we have to get is sufficient insight, then a strong mentality (readiness to take risks after long consideration) and also good capital preparation (the capital used is capital that is prepared specifically for trading and must be ready if you have to experience a loss, because that's how trading is, namely between profit or loss). But actually far more people experience losses after investing in the wrong field. Usually they are beginners who become victims of fraudsters who promise big profits in a short time. And once again what is dangerous is a lack of insight/knowledge. Therefore, before entering any field, prepare yourself with at least basic insight. So that we can also avoid every fraudster who is currently increasing in number.

[ndutndut]

Trading can be a wonderful venture, but it comes with its share of dangers.

One of the primary risks is financial loss.
The volatile nature of financial markets means that everyone suffers loss.

Irrational decision-making is another pitfall; fear and greed can lead to impulsive actions that erode capital.

Overtrading, where traders make excessive trades, often results in losses

Lack of knowledge is yet another issue;

trading without a solid understanding of markets and strategies can be disastrous.

To navigate these dangers, traders must educate themselves, practice sound risk management, and exercise discipline in their trading activities.

Trading will be dangerous if we master real trading knowledge starting from analysis, controlling emotions and so on. Because trading without understanding trading is the same as playing gambling only relying on instinct.

I liken trading to the retail world, where there are harvest periods and lean periods, for example selling clothes, market crowds will increase during weekends and big celebrations, that's the time to make transactions/sell as many goods as possible for more profit but still prioritize the risks. and reasonable margin limits. Just like trading, where there is important news that can move the market in a big way, that's where you can carry out as many transactions as possible by prioritizing risk and a reasonable margin threshold. So the point is, treat trading the same as selling retail.

[Zigabel]

Trading can be a wonderful venture, but it comes with its share of dangers.

One of the primary risks is financial loss.
The volatile nature of financial markets means that everyone suffers loss.

Irrational decision-making is another pitfall; fear and greed can lead to impulsive actions that erode capital.

Overtrading, where traders make excessive trades, often results in losses

Lack of knowledge is yet another issue;

trading without a solid understanding of markets and strategies can be disastrous.

To navigate these dangers, traders must educate themselves, practice sound risk management, and exercise discipline in their trading activities.

Firstly our approach towards trading could be the reason we see more of the worse than the best from trading. If we change our approach and see trading from a professional side I think more often we will be able to get it right trading. Just like a skill it take time and dedication to get the full knowledge of it and start getting the benefits that comes with trading and not rushing into it without proper knowledge.

Risk can be seen with almost every business and profession but you put your self so much at risk when you fail to  get and apply quality knowledge of that Skill to work. There's this great pit fall common amongst amateur traders, risk management it's one of the greatest fall of most amateur traders, they have poor risk management strategy and some don't even have at all and when they loose money they blame it on trading. Second managing your emotions   this has to be another aspect that needs more attention but most persons give less attention to it and for sure if you can conquer your emotions you have gone halfway your trading experience. Lastly  Quality education and discipline as stated by OP. Trading is a profession and not a hobby treat it as such and you become better at it.

[kawetsriyanto]

Trading on the spot market does not guarantee you a profit, since in the end it will depend on you when to buy a coin and, accordingly, sell it. And this is the most difficult, since most traders do the opposite in practice: where they need to sell, they buy and, accordingly, where they need to buy, they sell.

Agree. Even we trade on the spot market, there is no guarantee for profits. It purely depends on the strategy we apply for the spot trading. How we do research or analysis to choose the coins, also has a big role for the success of the trading spot. This is all about our knowledge and experience, it is something that can determine the chance for profits.

Yep, there are traders who only know the theories. But when they practice it, they do the opposite thing. If this happens, it will be difficult to gain proper profits.

I think all forms of trading requires experience and expertise to be able to sure of limited loss.

Of course, to trade properly we need to have sufficient knowledge and experience. It is not only about to minimize the chance for a loss, but it is also the way to understand how to optimize the chance for gaining profits.

Trading generally is not for novices

Everyone started trading from a beginner status. No one suddenly becomes an expert or experienced trader. But make sure to know how to trade in the right way when we are still a beginner. We must use the small capital first, we focus to learn and get the experience.

[Roseline492]

I see how many people complain about trading, despite the fact that holding and stocking for rainy days is more advantageous, so to be on the safe side, I will just carefully buy and keep when I eventually have money to buy, and if I have some to teach me trading better, I will consider it if I have money to buy. but from how I see the market bitcoin is not for kids.

Trading is very risky and one of the things they should first consider is that trading and holding are two different things because in trading we stand a chance to lose out completely if the person has no trading knowledge while holding is a risk free investment and no matter how the price movement could be your investment is intact.

For me I don't like trading but however if someone must trade especially the person that has no knowledge about trading should first understand the concept behind what he is trading and should be able to no the fundamentals and the risk management to guide you on the trading journey.

The only way to do well in trading is when you have someone that could guide and tutor you on how the market behaves, at least with that it could reduce you some risk, and also no matter how experiences a trader is he will always lose trades.

[Synonyms]

To navigate these dangers, traders must educate themselves, practice sound risk management, and exercise discipline in their trading activities.

it's all good insight and warning for beginners looking to start trading. but it can also make novice traders afraid to start their trading. maybe you would be more careful. but it can also give fear to beginners who actually get doubts due to their lack of experience to start with.
because not all novice traders will understand the risk management of the trades they make. Indeed, it would be better for novice traders to have a mentor who directs their initial trading with strategies that they can understand.

Trading without experience can never be successful.So those who want to do trading or want to be experienced in this matter must have a lot of patience and time to take advice from experienced so that trading can be learned.There are many people who jump into trading and start trading without understanding anything, due to which they end up with losses.There are different types of trading such as futures trading, spot trading, binary trading and many more.

[Rockstarguy]

Trading can be a wonderful venture, but it comes with its share of dangers.

One of the primary risks is financial loss.
The volatile nature of financial markets means that everyone suffers loss.

When you talk or think about trading you can run away from loss, it is something that will surely take place. It is impossible for people to trade and not to experience loss, since losing is something that exist in trading,  traders just need to learn trading well first to minimise the lose that can take place in a giving trade. Lose becomes dangerous when people go into trading without acquiring a ny knowledge about trading, in this case such person is taking big risk that can end up Losing all the money to trading.

[Ricardo11]

Trading is highly risky, trading without acquiring enough knowledge about trading will only lead you to losses. Not only trading, market research is also very important. Because if you trade at the wrong time you lose your money, if you research the market you can trade at the right time. One should never trade without being highly educated about trading.

[Pingrapole]

Firstly, if you invest with a certain amount of knowledge, if you suffer losses, if you invest as much as you can survive, you will definitely not suffer the losses that will happen. And if you go beyond your capacity and think about additional money and move towards becoming a rich man quickly then if you fail then you will not be able to stand up that is why my one word is as much as you can Invest as much as you can afford but keep some distance and get out of the get-gigantic-rich mindset and invest slowly to achieve success then trading is never for you do not curse thanks.