Why do losses occur?

[Oscar_0]

I will blame inability of self-control for losses because we can’t control our emotion and mostly overtrade in the prospect of more profit. What’d according to you?

 

[stoch]

I will blame inability of self-control for losses because we can’t control our emotion and mostly overtrade in the prospect of more profit. What’d according to you?

Same for me. Before trading according to the trading plan and strict money management rules, my trading looked like a gambling and I couldn't make my trading sustainably profitable. But everything changed after I moved to rule-based trading.

 

[billi]

Most new trader relates forex trading as gambling so end up losing their capital however trading involves luck along with pure analytical skills to measure the direction of market movement and earn money.

 

[smifslimited]

Losses are often caused by overtrading and not following strict rules for stop loss and targets.

 

[Jessie]

Most new trader relates forex trading as gambling so end up losing their capital however trading involves luck along with pure analytical skills to measure the direction of market movement and earn money.

Many new traders mistakenly view Forex trading as gambling, leading to significant capital losses. While luck can play a role, successful trading relies heavily on analytical skills to assess market movements and make informed decisions. Developing a disciplined approach and focusing on strategy can turn trading into a skill rather than a gamble.

 

[FXO_trader]

I will blame inability of self-control for losses because we can’t control our emotion and mostly overtrade in the prospect of more profit. What’d according to you?

Not everyone is prepared for losses and surprises in the financial markets, self-control requires years of study. Therefore, yes, I believe that the main reason for losses is the lack of self-control and sufficient knowledge.