Practical guide
Common beginner mistakes
Behavioural mistakes burn capital and confidence: recognising them early is the first step toward investing with clarity and consistency.
Key points
- FOMO and panic are the two extremes to avoid
- Consistency beats reactivity
- Buying without a plan increases mistakes
- Reducing impulsive decisions improves outcomes
Three recurring mistakes
Entering because of FOMO, selling during drawdowns out of fear, and changing strategy every month.
These are normal human mistakes, but they need simple rules.
How to prevent them
Define in advance when you buy, when you do nothing and when you rebalance.
The fewer improvised decisions you make, the less likely you are to sabotage yourself.
The right metric
Do not judge a decision by one week's result.
Judge it by the quality of the process that produced it.
What to do now
Write two anti-panic rules and keep them visible: on difficult days they will be your best ally.