The #1 reason most traders lose money
They don’t trade the patter!
They trade their emotions!
Here are 4 mistakes tied to classic chart patterns and how to avoid them π
1/ The FOMO Double Top πΈ
π Pattern: Double Top
π΅ Emotion: Greed / FOMO
You buy the second top, thinking it’ll break out.
But it’s a reversal setup.
Boom—price dumps.
✅ Fix: Recognize the M-shape & wait for neckline confirmation.
2/ The Hopeful Head & Shoulders π₯Ή
π Pattern: Head and Shoulders
π¬ Emotion: Hope
You’re holding a long position, ignoring the obvious reversal.
You convince yourself: "It'll bounce."
It won’t.
✅ Fix: When you see the right shoulder form + neckline break → exit or short.
3/ The Panic in an Ascending Triangle πͺ
π Pattern: Ascending Triangle
π° Emotion: Fear
Price pulls back from resistance… again.
You sell early—just before the breakout.
✅ Fix: Trust the structure. Buy the breakout with volume.
4/ The Revenge Trade After a Descending Triangle π
π Pattern: Descending Triangle
π‘ Emotion: Revenge / Ego
You tried to long the breakdown.
It dumped.
Now you double down.
It dumps again.
✅ Fix: Let the pattern finish. Don’t fight structure with emotion.
Final Thought:
π Patterns are objective.
π΅ Emotions aren’t.
Trade the chart, not your feelings.
If you want these mistakes out of your system...
π Grab my trading eBook here π https://investingclubnyc.gumroad.com/l/ohlvfo
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