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FREQUENCY PROBLEMLOW-SCORE CLICKSSESSION CAP

Overtrading

Taking too many trades — either too frequently or too large — beyond what your edge and account size can support.

Overtrading erodes edge through transaction costs, forces entries at sub-optimal conditions, and floods you with so much noise that pattern recognition breaks down. More trades do not mean more profit; they usually mean more commission paid to your broker.

It stems from boredom, FOMO, recovery-mode urgency, or a simple misunderstanding that "being active" equals "being profitable." The best setups are rare by definition. If you are trading ten times a day on a daily-chart strategy, you are not trading your strategy.

Track your trade count per session. If it consistently exceeds what your backtested edge warrants, you are overtrading. Tighten your criteria until the count drops.

On the desk

A playbook allows three qualified attempts. The seventh ‘small look’ of the afternoon is not curiosity. It is a different method.

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