Nick Proffitt has a nice overview of classic Trading Mistakes.
— Letting small losses turn into large losses.
— Refusing to take a loss at all.
— Bottom fishing/Catching falling knives.
— Averaging down.
— Shorting bulls and buying bears.
— Confusing the company with its stock.
— Falling in love with a "story."
— Following the leader.
— Buying IPOs.
— Finding the Holy Grail.
— Excessive tape watching.
— Being undercapitalized.
— Letting the tax tail wag the stock dog.
— Relying on gurus.
— Thinking this market stuff is easy.
— Thinking rather than looking.
That’s just the list; its fully explained at Decision Point.
Why is common sense so uncommon?