Vladimir Ribakov explains that professional traders make mistakes too, but they recognize them quickly and move on. His core rule: one error shouldn't kill your strategy. Admit it, start fresh, and don't repeat it. Avoid revenge trading, which turns one loss into a cascade.
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How to avoid and prevent mistakes in trading. Hi guys, Vladimir here from Traders Academy Club, and in this video I want to touch and cover a very special subject, underestimated subject— mistakes in trading. I want to talk about some myths and show you some of the truths, and also we'll give you a very, very, very important tip to put a mirror in front of what you might be doing and hopefully to give you a good solution to that. But before I dig deeper, if you are watching, uh, this channel for the first time, first of all, welcome to our community. I hope you find it useful, and I would like to invite you to subscribe to our channel. Just follow the subscribe button below this video. And remember to enable the notification. And as well, I would like to invite you to join our trading club, the Traders Academy Club. And you can also follow us in our free Telegram channel where you will be enjoying on daily basis from trading ideas, articles, and much, much more content we have available. So let's begin and talk about some of the Myths about the trading mistakes. So the truth to the first one is that everyone does mistakes in trading. The myth is that only beginners do. Many beginners believe that the professional traders do not do mistakes. Totally wrong. The professionals do mistakes. They do them much less often And they recognize their mistake. And once they recognize the mistakes, they simply get out, accept the mistake, cut the mistake early, and moving on. They are not crying about the mistakes. They are not blaming anyone about the mistakes. They are not trying to convince themselves that what they did was right. They recognize it, they admit it, and they move on. And the most important thing, they don't let their actions suffer from one mistake. I'll touch that later on. The next one, do not avoid mistakes, learn from them. And here is the truth. Okay, many, many traders try to avoid mistakes, which is logical because we don't want to do mistakes, right? We all want to be the perfect traders, but the truth is it does not exist. Don't be scared of the word mistake. Don't be scared of making them as long as you can learn from them. And this is the more important— the most important thing: learn From the mistakes you did, okay? Because what could happen is when one tries to avoid the mistakes completely, he will find himself—he or she will find themselves—in a situation when they don't trade, they don't take any action, and taking no actions will lead you to no results. You cannot learn by watching someone else doing what you're supposed to do. You cannot. Learn ride your bike if your teacher just shows you all the time how. You cannot become a doctor unless you try out the things. You cannot become a good lawyer unless you study and how to deal with cases, and so on and so on and so on. So it's very, very important to understand that do not avoid the mistakes. Learn From them. Not every winner means good, not every loss means bad. Another very common belief among traders, especially the beginners, is if there was a loss, they did something wrong, and if there was a winner, they did everything right. This is completely not correct, and the reason for that is even if you do something super well based on all the technical rules of your strategy, sometimes you can still suffer a loss. That's trading. You cannot expect only winners even if you follow all the rules. And you definitely can't make this conclusion that if there was a winner, you did everything right. Sometimes the market will move in your directions even if you are wrong. That could happen. So don't fool yourself with the assumption that every winner you have means you did good and every loss you did means bad. And now I want to talk about a very, very serious subject and give you a serious recommendation of a book that affected me a lot and I consider one of the best books I read, personal view. And I want to talk about the rule of 2 mistakes and the idea of one drop, new streak. Many, many, many people, actually most of people, uh, they— the, the way they, uh, um, proceed in their life is when they try a serious diet and they cheated one day, they believe they cheated the whole diet, so they drop All the good things they did because of one mistake. Okay, you understand the absurdity, right? If you are trying to not drink coffee, for example, for a long time, or avoid sugar, and then you just had your coffee or you had your sugar in one day or one meal, it doesn't mean you— that's all. It doesn't mean it's over. It's one mistake. One mistake, one drop does not require to drop everything. Okay, so you did a mistake, start a new streak. Recognize the mistakes, or in simple words, the rule of 2 mistakes: never repeat the same mistake. Recognize it, admit it, start a new streak. Do not abandon the whole process. And the whole progress of the good things you did because of one mistake. Recognize that and never repeat the same mistake. I have to admit that once I started to apply that in my own life, it helps me a lot in everything— in my trading, in my business, and in my personal life. I recognize the mistake, I admit it, I Continue. I restart a new streak and I definitely don't abandon it. When I go to work out and after that I eat some hamburger and with a Coca-Cola, for example, I understand that it was not in place. I really wanted that, but it was not in place. But it doesn't mean the whole months of the hard work Gone. Mistake happened. I continue the streak with a new streak. I don't drop everything because of one mistake. And what happens to traders is they did a mistake, they didn't follow the rule, they did a loss which could be a big loss or whatever, but they start to try and revenge. They start to, ah, I must return my money back, I must buy now, sell now, and so on and so on. And When the decisions are done under such environment, under such emotional situation, nothing good will happen to that. And most likely this mistake will lead you to series of mistakes and the whole amazing progress you did for a while would be gone for good. Just Because you did not stop on time, you did not recognize what happened was a mistake, and you did not restart a new streak and continue your good progress. There is one book that, as I mentioned, I— this is taken from there, and I really recommend this book. It's actually here, it's me holding this book by James Clear. It's called Atomic Habits. I I have the hard copy. As far as I know, there is also the audiobook available. This is something that you might want to consider and to read. And that's all. I love it. And this— his suggestion really helped me in trading. So I decided also to give the honor and the big thanks My congratulations to my gratitude to his work and suggest he this book has a lot of great suggestions there and tips, but this one is specifically somehow got connected to me and I definitely see how it is connected in trading. So that's all. I hope you and you you feel connected to the message I have for you in this video. And if you did the same mistakes I was talking about, uh, this video, I hope I put the mirror in front of you and make you think about the mistakes and hopefully give you, uh, also a solution, uh, how to deal with that. Thank you very much for your time watching this video, and I hope again you find it useful and helpful. If you do, please hit the like button, show your support back, and feel free to share with anyone you want and you can, and you think this video can be helpful. I'll see you soon with more content on my channel. Meanwhile, thank you very much for your time, and I wish you all the best. Stay safe.
