Trading for Beginners (Avoid this stupid Mistake)

Trading for Beginners (Avoid this stupid Mistake)

Trading for Beginners (Avoid this stupid Mistake) 300 169 Minimalist Trading – Best Trading Indicators for TradingView

It’s no secret that Trading for Beginners is often perceived as difficult and risky.

There are many “Trading for Beginners” courses but, most of the time, they teach you the theory…

…and then you fail in the real Market.

The good news?

You can learn many Trading for Beginner secrets for Free by watching actual live trades.

In the live trade on our TradingView chart (you can re-watch it below), you can learn How to Avoid one of the most common Trading mistakes.

Trade setup – 7 May 2020

Many noobs got scared in this simple trade Setup 1

We have a clear Short Selling setup on GBPUSD.

In particular, the following three conditions are all met:

    1. The price breaks down the consolidation that we identified and marked with the blue trend lines
    2. The breakdown candle is red (colored by the Breakout Pivotal Bars)
    3. The bearish Sentiment Index breaks down as well its trend line, on the same candle

These three conditions put together, form a very High Probability Trade and so we open it.

The Trading Target is going to be where the projection to the downside of the first impulse ends.

The Stop-Loss, instead, is a bit into the consolidation so that we are enough protected should the Price Action decide to increase.

Trade update – 7 May 2020

Many noobs got scared in this simple trade Setup 2

The Price Action moved down significantly, about halfway into our Trading Target, and then it is retracing within a few candles.

This is the typical situation where beginners traders get scared.

The reason?

Because they see the Price Action moving against them and potentially enter into their Stop-Loss area (like in this case).

So they start to get emotional and make impulsive decisions.

We, instead, stay rational and accept the fact that the Price Action can do whatever it wants, whenever it wants.

Our initial Technical Analysis is correct, and so we just stick to the evidence.

Moreover, the experience tells us that, once similar setups form, there is a very high chance that they ultimately reach the Take-Profit level.

What happens in between, and how long it’s gonna take, is simply something beyond our control and we must accept it without letting emotions take control.

Trade closed – 7 May 2020

Many noobs got scared in this simple trade Setup 3

After that retracement, the Price Action went down and reached the Trading Target.

As we expected, we ended up closing another profitable trade with a 2x profit.

It’s not exceptional but using our Trading Strategy is very achievable and consistent.

However, one thing happened that is worth mentioning.

Many beginners traders got scared in this simple trade.

Why?

Simply because the price was moving against them!

The best “Trading for Beginners” secret that you should learn is to never get emotional!

It sounds simple, but it’s rather hard.

Have you ever make stupid Trading mistakes in the past?

Share your experiences with fellow traders by leaving your comment on the YouTube video above.