Using too much leverage is a common problem. As tempting as it may be to take full advantage of high leverage, if the trade moves against you it also magnifies losses to the same level it would gains.
The other issue, perhaps more worrying, is that it reduces the level of usable margin, which in turn can leave a trader vulnerable to a margin call.
I think it’s trading without a clear reason and entering trades prematurely, without a well-defined trading opportunity, is indeed one of the most common and detrimental mistakes in forex trading.
No risk management and believing forex is a get-rich-quick scheme. Leads to more problems.
So true.most newbies think that they can make a living, or get rich quick by forex very quickly.
Forex should really be advertised as the get-rich-slow, like really slow, if you can survive! Ha!
the sad story is that most of the pseudo-traders make a living or even get rich by selling these "Get Rich Quick " dreams to others.
Well, anybody can start a Youtube channel these days. And if you’re desperate enough, you’ll give one of these guys your money. Happens every day.
Ok now I have a question related to this answer. What if you waited for an edge that took you like a very long time to show up and once you are in on the trade , price goes in your favor and then reversed and started trading around your entry. Since you have to wait for either your TP or SL What do you do in this position?? Because remember you paid the price of waiting to get that quality trade and now it’s misbehaving, you can’t just exit can you???
So the higher the Leverage the lower the Usable Margin? Noted 
Sure you can but then wouldn’t that mean deviating from your trading plan?
I think I’d rather wait for my TP or SL regardless of what happens. I’m even trying to learn a strategy called set and forget. It really suits my personality.
Yup that’s always the better plan. Just easier said than done mostly though…
Copying others is a major mistake done by many traders because we believe others more than us and copying others hinder self-development.
I’m a beginner in trading who has just started to learn the ropes. From what I can see, I often made trades based on intuition rather than analysis, which often resulted in losses. I didn’t always set stop-losses and didn’t control position sizes, leading to losses
What I’m learning these days is that a good trade puts me in green almost instantly. If a trade moves well in my favor, I move my stop to breakeven. I “expect” the trade to go hit my TP because that’s my thinking before I entered. If it comes back to my entry, I’m stopped out without a loss. I don’t care
If it goes the right way again. It was not a good trade. Any trade can be a winning trade. Since it goes against my strategy, it’s a bad trade until I modify my strategy based on review of accumulated results.
I notice that winning trades are immediately winning trades.I also find that a trade which goes half-way to my stop-loss price never comes back.
Imagine this scenario. The trade moves well in your favor. Almost touches your TP but comes all the way back to hit your SL. That’s enough to spoil your day and put you on tilt if your mental game is not strong. My version is to put on the trade, place your SL and TP, watch to see what the trade does and when it moves reasonably well in your favor, move your stop to breakeven and then forget it and go. Most experienced traders move their stops to breakeven (though not too soon). Tom Hougaard usually don’t use a TP. He rather keeps moving his stop forward based on his predefined rules until it is hit and he’s one if the toughest traders you’ll know.
Thinking they are ready after watching some youtube videos on trendlines, support and resistance, judas swing, RSI, MACD, etc. Any proven method must marry psychology to birth success.
Ugh what a timely post. Guess it’s time to close my trade. 
