​Five Common Mistakes of Futures Traders from wisepowder's blog

This paper lists the top five mistakes that futures traders often make. Correct it as soon as possible if its your case.To get more news about WikiFX, you can visit wikifx.com official website.

　　1. Hold a full position

　　It allows quick earnings but also brings sudden liquidation. Since your profits are directly proportional to your trading duration, it is incorrect to start with a low amount of capital in hopes of high returns. All positions should be opened with capital no more than 30% of the total so as to prevent margin calls or unexpected events.

　　2. Counter-trend trading

　　Many beginners open a trade against the primary trend when the price reaches the limits. You may earn lucky profits sometimes, but such trading will bring a margin closeout or even blow up your account in a unilateral market lasting for a continuous period. Never open a reverse position when the limit comes!

　　3. Desire to trade frequently

　　With hopes of further opportunities, some people always want to trade more. They try it several times but fail every time. The reason lies in their lack of technical analysis. Take a break when there is no opportunity, and enter the market assertively when you find one.

　　4. Test the top and bottom

　　Some people prefer predicting the top and bottom of the market, but halfway interruptions always cost them a heavy loss. Trade firmly with the trend according to charts!

　　5. Refuses to concede defeat

　　Many people refuse to close their loss-making position and leave their trades to chance. The longer they trade, the heavier they lose. Stay rational in trading and get out immediately once the market moves to your stop-loss price!

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