🚨 The Biggest Mistake of Traders: Holding on to Losing Positions Without Understanding What the Candles Are Saying
One of the reasons many traders suffer significant losses is their stubbornness in holding onto positions even when the market has clearly signaled otherwise. Remember: Candles never lie. 📌 When a candle closes in the opposite direction of your expectation, that is a signal that the market has changed. • If you are buying but the candle closes strongly red → the short-term trend may have reversed. • If you are selling but the green candle closes above the resistance zone → the buyers are in control. 👉 At this time, you have 2 smart choices: 1️⃣ Close the order immediately to preserve capital. 2️⃣ Reduce a portion of the order volume to limit risk, waiting for further confirmation from the market. Holding onto orders in the hope that the market will turn around often only results in larger losses. The market does not care about your emotions or expectations; it simply reflects supply and demand through each candlestick. 💡 To become a disciplined trader, you must learn to listen to the language of candles and react promptly. Don't let a candle that goes against the trend turn your account into zero.
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🚨 The Biggest Mistake of Traders: Holding on to Losing Positions Without Understanding What the Candles Are Saying
One of the reasons many traders suffer significant losses is their stubbornness in holding onto positions even when the market has clearly signaled otherwise.
Remember: Candles never lie.
📌 When a candle closes in the opposite direction of your expectation, that is a signal that the market has changed.
• If you are buying but the candle closes strongly red → the short-term trend may have reversed.
• If you are selling but the green candle closes above the resistance zone → the buyers are in control.
👉 At this time, you have 2 smart choices:
1️⃣ Close the order immediately to preserve capital.
2️⃣ Reduce a portion of the order volume to limit risk, waiting for further confirmation from the market.
Holding onto orders in the hope that the market will turn around often only results in larger losses. The market does not care about your emotions or expectations; it simply reflects supply and demand through each candlestick.
💡 To become a disciplined trader, you must learn to listen to the language of candles and react promptly. Don't let a candle that goes against the trend turn your account into zero.