Those involved in the trading profession will often tell newcomers that trading is as much based on mental ability as it is on the strategies employed. Having spoken to some of those traders with decades of experience in this industry, I can tell you the standard errors that are made mentally that will affect how the process works.
Not Fully Believing in Your Method
When employing a trading strategy successfully, you need to believe in it. This type of confidence is merely gained by practicing your chosen plan continually until you do not doubt at all in your mind that it works for you.
Being Unprepared for The Trading Day
To trade successfully, you must approach the day with a routine that you follow consistency each time. By taking the day for granted, you put yourself at a disadvantage and are unorganized when it comes to checking simple things required, such as stock and relevant data.
Trying to Trade While Distracted or When Ill
Trading undoubtedly requires a high concentration level, but if you have other concerns going on that detract your attention from the job at hand, you will not be able to focus solely on this and therefore prone to making more mistakes on the day.
If you know you will not be able to commit the required energy to your trading that day, do not trade! Save your money and take some time out, getting back into the process when you are in a better mind frame.
Allowing Previous Lost Trades to Affect Future Trades
For most traders, their past losses do not affect their future trading patterns. But for some, the concept of the last failure equaling in the next trading day resulting in a similar loss is often very real.
If you have a certain strategy in place and know how to approach the trading day, you have all the tools you need to trade one day at a time, taking those unfortunate loses along with those great wins.