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Распространенные торговые ошибки

Without cutting your losses
This is inevitable - sometimes things are not going according to plan, and as a result you lose your position. There will be times when you can survive the storm and ultimately make a profit, but in some cases it is better to exit before the situation worsens.

So, how can you determine if you should hold on to a losing position or not?

Richard and Jack simultaneously opened long positions on the FTSE. Unfortunately, they chose the wrong time to buy: the index is now falling, and both see growing losses.

Richard loves to trade instinctively, and he has the feeling that the FTSE will rise again soon. He does not set a stop loss, preferring to monitor the market and make decisions on the fly. The loss of shape in his FTSE deal now makes him hot under the collar, but he tells himself that everything will be fine if he just holds his nerves.

Jack, on the other hand, takes a disciplined approach to trading. He created a trading plan to outline his strategy, and he follows his leadership, deciding whether to close the position. He also keeps a trading diary and refers to his previous trading decisions. He set a stop loss to automatically close his FTSE transaction if losses reach an unacceptable level.

Which of these two traders is more likely to make the wise decision to exit their FTSE transaction?
answer
Overexposure or underexposure
With an almost infinite range of financial markets and trading products to choose from, one of the problems that a trader is unlikely to encounter is boredom.

However, sometimes it is difficult to find the right balance between, on the one hand, an attempt to put your hand to everything, and on the other, sticking only to what you know well. While it’s risky to go too far beyond your comfort zone or distribute your capital too finely, you should not unduly limit your capabilities. Keep in mind that the wider the range of types of assets that you trade, the more time and energy you will need to monitor the factors that affect each of them.

Overexposure or underexposure
Question
What words need to be inserted to complete this sentence?
Portfolio [1] is a smart way to spread [2], but resist the temptation to enter markets that you don't have [3] or that you don't fully understand.

Reveal answer
Misunderstanding of trends
Imagine that the Dow Jones has been steadily moving upward over a long period when an off-farm wage report is worse than expected, leading to a fall. Does this mean that he is now in a downtrend?

Dow jones
Inexperienced traders may suggest that the answer is yes, but in reality this is hardly the case.

Trend is a long-term direction of market movement.

This is usually determined by macroeconomic influences, and not by individual political or economic events. Thus, in our example, you can see how the Dow resumed its uptrend after the initial volatility declined.

There are many software tools for analyzing market trends, and these tools can be useful if used properly. You just have to be careful to distinguish between short-term and long-term effects, as they may not match.

summary
Be disciplined in closing your trades to reduce your losses when markets move against you.
Maintain balanced access to a range of assets, being careful not to diversify too much
Remember the differences between long-term market trends and short-term reactions or “sideways trends”
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