In the last days I've been thinking about what makes people lose money in an attempt to perform trading. What I realize, especially in my Brazilian community is that novice traders begin to operate without any preparation and without any education.

People do not even consider what kind of operation they're going to perform, if Intra-Day (The goal is to take advantage of the movement of intra-day prices) , Swing Trader (It consists of a period slightly greater than the intra-day, about 1 to 5 days)  Position Trader (Position traders typically hold the position bought or sold for a period of time greater than one day. A trader can keep your position or short position for several days, weeks or even months.) or simply Buy and Hold (Consisting of a fundamentalist analysis where the investior choose to buy and hold for a long period of time.)

Like any activity you want to pursue in life, you need to study, build skills, learn techniques, master the environment, all this in order to succeed. But it seems to me that many people, especially in the crypto currencies markets, that is something extremely new, with plenty of room to evolve, are still wanting to start operating without first going through a long learning period.

A few days ago I did a post where I talk a little about investor psychology https://steemit.com/money/@cryptoeasy/the-investor-psychology-why-you-are-not-a-good-trader-let-s-find-out-together  . And today I'll list some basic rules for traders, and also will list a few reasons that make the losing traders.

Some basic rule.

• The first rule says, in an uptrend or you are with open buy position or you're out. Remember, do not have a position is to have a position.
• Buy currency that are showing strength over time. People still buy what is falling, whats fall does not mean price correction. 
• When you want to enter into a transaction, enter only if between this operation demonstrate potential to be the best trade of the year. Do not go into an operation without it being planned.
• Be patient. If you lose the entry point, expect to occur a fix. Them you can view a new entry point for the operation.
• If you do not have patience to wait, you will never win anything. Once you are in a trade wait for it to develop long enough to give the profits that you expect.
• Never add, in any circumstances, a losing position. If you are buying each new entry should be higher than the last. Do average price when prices are falling only if you are Warren Buffet or have infinite money.
• If you have a large loss of funds, rest a while. Close all positions and stop trading for a while. The mind can confuse ourselves after significant losses. The thought of wanting to recover money quickly hinders and makes ourselves freak.
• Markets change in the blink of an eye. Most traders do not.
• If you do not have discipline to follow a method, then any strategy or technique will be not good for you.
• Operate with reality and not with what you want.

These rules are not geniuses of all. They are just common sense, but as Voltaire said, "Common sense is unusual." Avoid dark or miraculous systems and operate only in the direction of the trend.

Main reasons why traders lose

• Lack of a plan
• Information overload
• Lack of sufficient capital
• Try to hit tops and funds
• Quick exit gains and holding losses
• Operating for the wrong reasons; adrenaline, challenge, hobby
• Lack of specific education
• Not having rules after losses and not to learn from mistakes.
• Wait too long and not give up, as in a game, not knowing when to stop.
• Hope that the market reverses
• Overconfidence and ignorance.

95% of novice traders lose. The most common errors are: go into operation too late or too early; out operations winners too soon or not to leave, leaving the gains become losses. These errors are common and end the trust of the traders. The best we can do to improve is to master the use of technical analysis and fundamental analysis before taking any decision.