How high is the trader’s failure rate? The truth behind the lack of rules and discipline

In the market, traders’ success is not accidental. According to data from multiple market research, about 90% of traders
It will eventually end in failure. Among them, many people may think it is because of bad luck in the market, but the real reason behind it is the lack of discipline and rules. This is why, becoming a successful trader not only requires the support of technical analysis, but also requires the establishment and strict compliance with trading discipline.

Reasons for transaction failure

The market fluctuations are always full of temptation, especially for newbies who are new to the market. Many times, traders are prone to making wrong judgments due to lack of discipline or emotional decisions, resulting in losses. Here are some common reasons for trading failure:

Emotional Trading: Traders often make overreacting decisions, over-panic or over-greed when facing market volatility. Such behavior can easily lead to blindly increase positions or excessive betting, which will eventually lead to complete losses of funds.

Overconfidence and blind follow-up: There will always be people in the market who achieve short-term success through so-called insider news or accidental market opportunities, which leads to many people blindly following the trend and conducting unsubstantiated transactions.

Labor risk management: Many traders lack the concept of risk management when trading, often ignore stop loss or insist on waiting for a rebound in losses, which ultimately leads to greater losses and even positions.

The reasons for these failures often come from the lack of a rigorous trading rules, and rules and discipline are the lifeblood of successful traders.

How to avoid failure?

The only way to avoid failure is to establish your own systematic trading model. This trading model is not only a trading strategy, but also the execution of discipline and rules.

The following are the basic guidelines that every trader should abide by:

Set clear trading rules: no matter how the market changes, every transaction should be conducted within the rules. Set the entry point, stop loss point and take profit point of each transaction in advance to avoid making temporary decisions in the market.

Strictly abide by risk management: No matter how attractive the trading opportunity is, always keep it
Risk control. It is recommended that the maximum loss of each transaction be controlled between 1% and 2% of the total funds to avoid affecting the overall funds due to the failure of a single transaction.

Emotional Management: Traders should have good
Emotional control ability, don’t give up easily because of continuous losses, and don’t give up because ofBecome too confident by making short-term profits. Successful traders can always remain calm and sane in their mood swings.

Practice discipline and rules in a simulated environment

EagleTrader provides a very effective solution to this problem. Through simulated fund accounts, traders can practice trading discipline and rules without any risks and accumulate valuable practical experience. For those traders who are still exploring in real trading, this is undoubtedly a good opportunity to reduce transaction costs and improve their capabilities.

EagleTrader not only provides
1:1 simulates the real trading environment and also has a strict risk control mechanism to help traders learn how to control risks independently during the trading process. EagleTrader’s mock exam system
It can also help traders gradually improve their trading level through regular exams. Every trader can temper trading strategies, improve his abilities in simulated trading, and ultimately obtain the profit sharing reward provided by EagleTrader to achieve stable profits.

In this process, EagleTrader provides traders with a disciplined and systematic growth platform. Here, traders are not only trading, but also
Build your own trading system, hone your trading psychology, and ultimately achieve the goal of steady profitability.

Successful traders do not become overnight, but through long-term accumulation, strict abiding by rules, and constantly adjusting their mentality, they gradually achieve a stable trading career.

If you also want to achieve long-term profits in the market, why not start with EagleTrader? More importantly, traders who get their first-time profits can also fully refund the registration fee if they only pass two rounds of exams. Join EagleTrader now and let rules and discipline be the cornerstone of your success.