2026-01-06 23:21:56

Why do I always lose when doing short-term trading? Many blame the market judgment, but the real issues often lie in those easily overlooked details.

Based on my own experience and that of many traders, I’ve summarized the most common pitfalls in short-term trading:

**Pitfall 1: Don’t chase the price rally**

You see the price surge and think you need to jump in quickly. Wrong. When the price reaches a high, it’s often the emotional peak, not a good entry point. Rushing in at this moment usually results in catching the bag. Where is the real opportunity? Wait for the price to pull back to key moving averages or support levels and stabilize. Only then is it worth paying attention. Waiting a bit longer can help you avoid many pitfalls.

**Pitfall 2: Never reach out to catch falling knives**

"Bottom fishing" sounds tempting, but in a downtrend, any rebound could be a trap. True bottom reversals will show clear pattern signals—double bottoms, head and shoulders bottoms, or prolonged sideways accumulation. Until these patterns appear, it’s better to pass on the opportunity rather than gamble.

**Pitfall 3: Market without volume is fake**

Volume is the lifeblood of the market. When volume is insufficient, price movements are unpredictable and lack sustainability. Short-term trading must pay close attention to volume. A rise on low volume is basically a trap for bulls; a decline on low volume means no one is supporting it. Only when the price breaks through or stabilizes at key levels (like dense moving averages) with increased volume is it a genuine signal worth noting.

**Pitfalls 4 and 5: Position size and stop-loss are life lines**

Trade only when you are confident; otherwise, stay on the sidelines. Overleveraging a single position turns trading into gambling. Stop-loss is your safety rope—set it in advance. When it’s hit, exit immediately—don’t leave room for wishful thinking.

The essence of short-term trading isn’t about making huge profits every time, but about using strict risk control to ensure you can survive in this market. Losing less money is itself a form of victory. As long as your principal remains, opportunities will always be there.

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ShamedApeSeller

· 01-09 20:00

It's the same story again, right? You're right, but I just can't do it... I got caught twice chasing the rise and getting cut.

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VirtualRichDream

· 01-09 15:23

Speaking honestly, it's those small details that can't be rushed that are the easiest to cause serious problems. --- I've really learned my lesson from chasing rallies; now I only act after a pullback, and I lose much less. --- I don't pay attention to the all-volume market at all; it's just a waste of time. --- Position size is the key. Even in the best market conditions, heavy leverage can turn you into a dog. --- Not setting stop-losses properly is like committing suicide; there's no difference. --- The biggest risk in short-term trading is overconfidence; one lucky shot can wipe out all your profits. --- I've fallen into the bottom-fishing trap too many times; now I avoid trading unless there's a clear pattern signal. --- Watching volume is more effective than watching price; I've come to understand this now. --- Having capital is what makes you a winner; those huge profits are too illusory.

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tokenomics_truther

· 01-08 13:17

You're not wrong, but I just can't stick to it haha. As soon as I see a limit-up, I get itchy hands.

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ForkThisDAO

· 01-06 23:45

Chasing rallies and selling dips is truly a bloody lesson; I've fallen for it countless times... Unlimited rebounds are a scam; only volume expansion is the true way. Set your stop-loss properly to sleep well; there's no luck, only bankruptcy. This article emphasizes that surviving is the most important; huge profits are just a fantasy. Once you understand the relationship between volume and price, your success rate can improve significantly. Getting caught on the wrong side of a trade is really a killer; every time I try to buy the dip and then... Relying solely on market judgment? Ha, risk control is the fundamental key.

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TokenomicsShaman

· 01-06 23:43

Honestly, I've suffered too many losses from chasing rallies. Now, whenever I see the price surge, I instinctively step back. It's not that I'm cowardly; I've just been cut too many times. Getting caught with a knife is the worst. The more it drops, the more I want to buy the dip, and I can't control that psychology. As a result, each time is worse than the last. I’ve learned that understanding the pattern is essential. I agree that volume being fake is true. I've been fooled many times before realizing that a rise without volume support can't go far. Position size is the real killer. Sometimes, a single trade can wipe out all the previous gains. Only after strictly managing my position size do I feel more stable.

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BearMarketBarber

· 01-06 23:40

Buying high and selling low is really the biggest meat grinder for short-term trading, I feel it deeply.

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ShitcoinArbitrageur

· 01-06 23:36

That's so true. I only realized this after being caught in a surge countless times. Still, you need to wait for a pullback confirmation; rushing is not the way. --- Unlimited is just虚的, this really hits hard. I used to think I had to catch every wave and end up losing. --- Having a heavy position really turns it into gambling. I now set a 5% stop-loss per trade and walk away, then look for opportunities later. --- I've done too many things with cut losses, now I wait for the pattern to form before reacting to rebounds. Better to miss out than to enter recklessly. --- Honestly, if risk control is done well, turning losses into wins is not far off. Technical skills are secondary. --- Volume is indeed a妖镜; rapid rises in unlimited are mostly deceptive. Many times, I just glance and then leave. --- I've stepped into all these traps. The worst is chasing high and taking over, sometimes losing once costs ten wins to recover. --- Emphasizing stop-loss is never too much, especially for short-term trading. Not wanting to cut losses is basically gambling. --- The key is to stay alive. As long as the principal is in the market, there are always opportunities. Those rushing for quick profits usually end up dead.

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RetroHodler91

· 01-06 23:34

I've tried the entire set of strategies for chasing gains and catching knives. Now I just rely on strict stop-loss to survive.

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OldLeekMaster

· 01-06 23:34

Chasing rallies and selling dips is really something to avoid. I used to play that way too and lost a lot. Honestly, markets with no volume are not worth watching at all; they are all scams. Keep your position small and stick to your stop-losses decisively—that's the real skill to survive. Don't think about recovering everything in one shot. Wait for the right pattern, wait for the volume; sometimes being patient and holding back can earn more than impulsive moves. Taking the hit directly is the biggest loss. I've seen too many people blow up because they tried to catch the bottom.

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SmartContractWorker

· 01-06 23:32

I've done my fair share of chasing and getting caught, lessons learned the hard way. Now I just focus on volume and stop-loss to pass the time.

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