Avoiding Overtrading
Protect your edge by filtering out low-quality conditions.
5 min read
Video coming soon
Overtrading happens when you take trades outside your plan, usually because of boredom, frustration, fear of missing out, or the desire to recover losses. It often appears after a winning streak or a losing streak because emotions become louder than rules.
The cure is filtering. Define what an A-grade setup requires: location, context, trigger, stop, target, and session condition. If a trade is missing several pieces, it is not a trade just because price is moving.
Track the trades you should not have taken. Many traders improve faster by removing bad trades than by finding new strategies. Protecting your edge means saying no more often than you say yes.