Why day traders lose

[masulum]

Normally, traders who always in the market lose money Becaus why will you want to take advantage of every move in the market, you need to make use of strategy in a way that will favor, but some traders kind of rush the market thinking trading all the time will be a way of making a lot of money for them.

Where some traders can make a huge money from a single, maybe say trader will be there struggling to make half of that, the saddest truth is that traders don’t actually make money every day.

Trader who always stay in front of the screen to monitor market and price is only for them who have strong mental to not cutloss, not fomo and able to take good decision to exit market. If they are easy to panic, it is very not recommended to monitor the market all the time. Because this become the cause to be a paper hand. The decision making become premature, so they lose a lot of money because the decision taken from panic or fomo.

[Jatiluhung]

Normally, traders who always in the market lose money Becaus why will you want to take advantage of every move in the market, you need to make use of strategy in a way that will favor, but some traders kind of rush the market thinking trading all the time will be a way of making a lot of money for them.

Where some traders can make a huge money from a single, maybe say trader will be there struggling to make half of that, the saddest truth is that traders don’t actually make money every day.

Trader who always stay in front of the screen to monitor market and price is only for them who have strong mental to not cutloss, not fomo and able to take good decision to exit market. If they are easy to panic, it is very not recommended to monitor the market all the time. Because this become the cause to be a paper hand. The decision making become premature, so they lose a lot of money because the decision taken from panic or fomo.

Most of those who constantly monitor the market every day are day traders. In fact, there are always those who succeed in the profession of day trading. it’s just that the ratio is 1 in 1,000. This means that out of 1,000 people, perhaps only one will succeed. and those who do succeed are usually the ones who have truly mastered the ability to control their emotions in the market. And day traders don’t actually open positions every time they monitor the market. Those who succeed as day traders are usually much more cautious. They monitor the market all day say, for 8 hours, but sometimes they only open 1 or 2 positions. And sometimes they don’t always make a profit. However, they know how to discipline themselves so that their profit-to-loss ratio remains in their favor. They record everything in their trading journal. And that’s how they become disciplined traders. I know this because I have an acquaintance who is also a day trader. And the fact is, he is still a day trader to this day.

[Lannakosa]

Trader who always stay in front of the screen to monitor market and price is only for them who have strong mental to not cutloss, not fomo and able to take good decision to exit market. If they are easy to panic, it is very not recommended to monitor the market all the time. Because this become the cause to be a paper hand. The decision making become premature, so they lose a lot of money because the decision taken from panic or fomo.

But if you are active trader, you will constantly monitoring the market anyway, even when you do not have an open position, then you are analyzing it in order to find a good entry point. And if you already have one or several open positions, then you will be tracking your coins even more closely so that if the market moves according to your expectations, you can maximize your profit.

[henmark]

Most day traders have never run a business before they have always worked under someone else. Someone else has already developed a successful trading strategy and they are simply following that guidance. Most day traders do not want to admit that it takes a long time to master their skills. They think that they can start working in a few days or weeks by reading some books or watching some Youtube videos. Most day traders do not keep any trading records and cannot even remember what the entry price was. Most day traders do not pay much attention to risk management. They believe that losing trades will turn around so they do not want to close losing positions which leads to big losses.

Even if not closing losing trades don't make one lose excessive amounts, they are surely going to get their capital stuck if they haven't used stop-loss and are now waiting for the market to recover and get back to where it was when they bought.

This has happened with me, and many other traders as well as a newbie, because when you are inexperienced and don't understand much, you will have this kind of a mindset where you think that if you close the trade at a loss, you will lose money even if it's just a small percentage, so you should rather let the market go down and come back again so that then you can close the trade.

However, an experienced and knowledgeable person would think of it differently, they would think that if you have your capital free, and the market is going down, you can buy from a lower point, and then when the market reaches where the first trade was made, they will make more money than they have lost when the stop-loss was hit. I know that it might not happen all the time, because sometimes the market goes down, your stop-loss gets hit, and it goes up again immediately, but that is a rarity.

[Webetcoins]

Most of those who constantly monitor the market every day are day traders. In fact, there are always those who succeed in the profession of day trading. it’s just that the ratio is 1 in 1,000. This means that out of 1,000 people, perhaps only one will succeed. and those who do succeed are usually the ones who have truly mastered the ability to control their emotions in the market. And day traders don’t actually open positions every time they monitor the market. Those who succeed as day traders are usually much more cautious. They monitor the market all day say, for 8 hours, but sometimes they only open 1 or 2 positions. And sometimes they don’t always make a profit. However, they know how to discipline themselves so that their profit-to-loss ratio remains in their favor. They record everything in their trading journal. And that’s how they become disciplined traders. I know this because I have an acquaintance who is also a day trader. And the fact is, he is still a day trader to this day.

Yeah, there are many people who make mistakes regards to trading and this is normal, there is nothing that we can do to make this change, for the time being we need to be careful with what we are dealing with and as long as we can do it properly then it will not be a problem at all.

Many people make a mistake regards to this, and that is why they end up with bad results. If you are careful then you will not be getting these type of bad results. Learn how to be better, and you should be fine.

[Big Dirams]

Trader who always stay in front of the screen to monitor market and price is only for them who have strong mental to not cutloss, not fomo and able to take good decision to exit market. If they are easy to panic, it is very not recommended to monitor the market all the time. Because this become the cause to be a paper hand. The decision making become premature, so they lose a lot of money because the decision taken from panic or fomo.

But if you are active trader, you will constantly monitoring the market anyway, even when you do not have an open position, then you are analyzing it in order to find a good entry point. And if you already have one or several open positions, then you will be tracking your coins even more closely so that if the market moves according to your expectations, you can maximize your profit.

Mostly this implies to day traders. Day traders are always glue to the chart checking for possible opportunities from the market that they could easily take advantage of and open good entry. Day trader are always checking out the chart finding possible means and possible ways of making profits from the market or just as you said they are looking for means to analyze the market and come up with some strategies which will lead to profits for them.
Keeping glue to the chart helps day traders to keep track with their positions so they don’t fall into loss or regrets.
  But swing traders are not always glue to the market or stay up and keep watching the market chart instead they open entries for days and allow the market to do it thing.

[gabbie2010]

Trader who always stay in front of the screen to monitor market and price is only for them who have strong mental to not cutloss, not fomo and able to take good decision to exit market. If they are easy to panic, it is very not recommended to monitor the market all the time. Because this become the cause to be a paper hand. The decision making become premature, so they lose a lot of money because the decision taken from panic or fomo.

But if you are active trader, you will constantly monitoring the market anyway, even when you do not have an open position, then you are analyzing it in order to find a good entry point. And if you already have one or several open positions, then you will be tracking your coins even more closely so that if the market moves according to your expectations, you can maximize your profit.

Mostly this implies to day traders. Day traders are always glue to the chart checking for possible opportunities from the market that they could easily take advantage of and open good entry. Day trader are always checking out the chart finding possible means and possible ways of making profits from the market or just as you said they are looking for means to analyze the market and come up with some strategies which will lead to profits for them.
Keeping glue to the chart helps day traders to keep track with their positions so they don’t fall into loss or regrets.
  But swing traders are not always glue to the market or stay up and keep watching the market chart instead they open entries for days and allow the market to do it thing.

I think scalpers are the category of day traders who stayed glued to their screen trying to scalp any price reversal or continuation though majority just take 1:2 reward ratio and  move on to another trade thus warrant constant monitoring of price movement,  however there are other category of day traders that based their analysis on daily timeframe and make entries using one hour timeframe these traders would only need to watch their screen at every one hour if their any setup, personally I believe whichever way a trader is making profit consistently should just stick to it whether day trading, scalping or swing trading.

[Big Dirams]

I think scalpers are the category of day traders who stayed glued to their screen trying to scalp any price reversal or continuation though majority just take 1:2 reward ratio and  move on to another trade thus warrant constant monitoring of price movement,  however there are other category of day traders that based their analysis on daily timeframe and make entries using one hour timeframe these traders would only need to watch their screen at every one hour if their any setup, personally I believe whichever way a trader is making profit consistently should just stick to it whether day trading, scalping or swing trading.

That right scalpers are also part of the type of traders that always stay glue to the chart looking for opportunities to place an entry and secure their profits as soon as they see an opportunity.  Scalpers are just looking for minutes opportunity or maybe seconds just to take advantage of the market and make quick profits so they need that steady monitoring of chart just to make sure things doesn’t goes wrong for them or market doesn’t switch movement to any other way.
 I guess just swing traders that make analysis on the market without giving the market full monitoring. They make analysis for either days or week so they don’t need steady monitoring at all they can move on with their daily activities and nothing will affect their entries.

[Doll2233]

Day traders have the expectation that they will generate their profit within a day or hold it for a maximum of 7 days but when they see that the coins they bought are gradually going down, they sell their coins at a loss so that the loss does not get bigger and think that the amount of loss in that trade will be recovered from the next trade and the same happens in the next trade but if they can make a profit again then they can recover some of the loss but no trader can consistently make a profit in each of their trades and this is not possible which is why on average maximum day traders are in loss and they can never recover their loss.

Daily profits are not confirmed from day trade because some day you gonna make money and the other day you gonna lose some . A lot of traders use stop loss but using 50 or 100x leverage is insane.  And hen 20 percent flash crash happens, it will blow right pass through that stop loss.  Also avoid overtrading after hitting the cap means your goal . Day trading is pure about psychology. Capital Preservation is a good option instead of pulling out money from market. We need to understand that sometimes sitting hand on hand is better option and a good strategy.

[Franctoshi]

Greediness is one key thing here why they say traders lose money because they have opportunities to enter more trades in a day , some will end up even trading up to 10 trades which at last result in a loss due to overtrading, secondly their analysis is based on the smaller time frame and hence they don't usually get the bigger picture or direction of the market because they are interested in what is happening in that particular day, so they will finally get crushed by the bigger time frame .

[Ihedioral]

Very me back when I was still into day trading. I got interested in it during the bull run after making some decent profit from the coins I was holding, and then I thought maybe I could use that money for day trading, like I could make easy money every day without touching my main capital.

If I remember right, I started with around $20k, and over time I lost all of it. So in the end I realized trading can really have the same outcome as gambling if we’re not fully ready and we get too aggressive.

That's a huge amount of money for a beginner to invest, $20k, in your first trade. Hope is a lesson others need to learn from. No matter how good you are in trading, one thing you always have in the back of your mind is that trade markets are not risk-free, but your strategy costs you more losses than wins.

But no, this loss is something you will always experience in trading; no one can run from it. Make sure you have a little experience in trading before going into trade investment.

[Findingnemo]

High volatility is the reason for the better profit margin and as well as for them to lose, so how they handle their loss, protect their capital and keep the profit margin to the minimum and don't forget to take their profits all the time instead of keep investing then they will lose on the worst days.

[Plutomanian]

High volatility is the reason for the better profit margin and as well as for them to lose, so how they handle their loss, protect their capital and keep the profit margin to the minimum and don't forget to take their profits all the time instead of keep investing then they will lose on the worst days.

Losing is part of the game and there's absolutely nothing new about it. The market comes for those vulnerable traders who are emotionally triggered following their erratic movement of the market, they have no decisions on their own and are always in doubts about the market. What more can we see when we trade in the market?

Losses is a big one and we're not suprise about the cubicle outcome of our trades. We feel remorseful after losses but when we're hitting the big Ps, we just have to calm down and not panic because there are winning days and also L days. Day traders losses? I think that prospect align with all kind of traders because the market is a friend of nobody and it's here to make sure it milked quite huge amount from traders.