I can suggest a few as relying on other's research instead of own, choosing the wrong traders to copy and most important, Ignoring Risk Management.What are some common mistakes that newcomers to copy trading should avoid?
Right. It's crucial for newcomers to understand the pitfalls of relying solely on others, choosing traders thoughtfully and prioritizing risk management.I can suggest a few as relying on other's research instead of own, choosing the wrong traders to copy and most important, Ignoring Risk Management.
Right. Putting all your funds in one basket can be risky. Diversification through copying multiple traders is a smart risk management strategy.Blindly Following: Avoid copying traders without understanding their strategy or track record. Research and choose wisely.
Overexposure: Don't allocate all funds to one trader. Diversify by copying multiple traders to manage risk.