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The worst enemies of anyone involved in the MARKETS, according to what I have been able to see.
1) THE HURRY
Feeling the urge to open positions, unconsciously forcing even situations that are clearly not convenient.
1) THE HURRY
Feeling the urge to open positions, unconsciously forcing even situations that are clearly not convenient.
2) DON'T FEEL AT EASE STAYING OUTSIDE OBSERVING (FOMO)
Wanting to be constantly, always exposed to the market, even with 100%, and as soon as a position with a nice profit is closed, pawing to re-enter again and again, for fear of "missing an opportunity"
bad mindset.
Wanting to be constantly, always exposed to the market, even with 100%, and as soon as a position with a nice profit is closed, pawing to re-enter again and again, for fear of "missing an opportunity"
bad mindset.
There are no missed opportunities, there are only real gains and losses.
3) LACK OF PATIENCE
Inability to let the price action develop with the natural rises and falls of the price, and especially not being able to let the right time pass and gains to rise.
3) LACK OF PATIENCE
Inability to let the price action develop with the natural rises and falls of the price, and especially not being able to let the right time pass and gains to rise.
4) LACK OF AN ADEQUATE MONEY MANAGEMENT.
no matter how good they are, whoever enters with 20% a position or even worse, sooner or later burns out.
Even assuming they are the best,
in case of a black swan event,
the impact on the portfolio will be too devastating to be recovered.
no matter how good they are, whoever enters with 20% a position or even worse, sooner or later burns out.
Even assuming they are the best,
in case of a black swan event,
the impact on the portfolio will be too devastating to be recovered.
5) LACK OF DIVERSIFICATION BETWEEN ASSETS AND ALSO BETWEEN SECTORS
Being 100% exposed in just 1 sector, is a huge risk as anticipated above.
You may have massive skills or info, but if you don't diversify, and an unexpected event occurs, the impact on portfolio would be lethal.
Being 100% exposed in just 1 sector, is a huge risk as anticipated above.
You may have massive skills or info, but if you don't diversify, and an unexpected event occurs, the impact on portfolio would be lethal.
