Top Ten Mistakes February 25, 2007

From Jim Wyckoff, via The Big Picture, the Traders’ Top 10 Mistakes:

1. Failure to have a trading plan in place before a trade is executed.
2. Inadequate trading assets or improper money management.
3. Expectations that are too high, too soon.
4. Failure to use protective stops.
5. Lack of “patience” and “discipline.”
6. Trading against the trend — or trying to pick tops and bottoms in markets.
7. Letting losing positions ride too long.
8. “Overtrading.”
9. Failure to accept complete responsibility for your actions.
10. Not getting a bigger-picture perspective on a market.

Wyckoff elaborates a bit on each point – go check out the column for the full scoop.