3 Deadly Traps in Contract Trading That Everyone Must Avoid

At 3 a.m. in the middle of the night, trading groups explode with messages: “Account wiped out… just overnight.”

Photos of balances at zero are no longer unfamiliar. In this market, every week someone goes from “dreaming of becoming a millionaire” to “losing everything in a heartbeat.”

The harsh reality is: Contract trading is not a “life-changing gamble” but the fastest way to turn your capital to ashes if you don’t fully understand the risks. A small mistake can erase years of accumulation.

To survive, what matters is not extraordinary technique but avoiding these 3 deadly traps—where 90% of traders fall.

3 Deadly Traps in Contract Trading Everyone Must Avoid

1. “Holding On – Fighting the Trend” = SELF-DESTRUCTING YOUR ACCOUNT This is the number one cause of account blowouts. The market moves against your expectations, but many think: “It’ll bounce back… just a little longer.” The result? Small loss → big loss Big loss → margin call Finally → account wiped out before you can react

In trading, “holding on” is not perseverance, but stubbornness. And stubbornness is the fastest road to bankruptcy.

Survival rule: If the price moves against your analysis, cut your loss immediately—no matter how big the loss is. Only by preserving your capital will you have a chance to recover later.

2. Repeated Wrong Trades But Still Forcing Trades = “FIGHTING THE MARKET” The urge to recover losses is the most dangerous enemy. Many people, after several consecutive losing trades, start to get angry: “I can’t be wrong again!” “I have to recover now!” “This time I’ll definitely be right!”

But the more emotional you get, the more you try to recover, the more mistakes you make, and the market never shows mercy.

🧠 Remember: The market doesn’t pay the hard-working, only rewards those who stay calm and know when to stop.

Golden rule: 3 consecutive losing trades → stop 10 losing trades → close the app, walk away from the screen

Don’t trade when you’re emotionally burdened. Sometimes, doing nothing is the best way to make money.

3. Not Withdrawing Profits = Working for the Market for Free Many people once had huge profits… before giving it all back to the market. The only reason: “Just wait a bit longer… it’s about to pump.”

But the market doesn’t operate according to personal wishes. One reversal is enough to wipe out everything.

Ironclad withdrawal rule: Every time your account doubles—withdraw half your profit. Don’t wait until it’s “big enough,” because 99% of those who wait “until $100,000 or $1 million” end up with nothing but regret.

Money withdrawn is real money. What’s left in your account is just a number… temporarily.

Conclusion The contract market doesn’t need the smartest people—just the most disciplined. If you want to survive long-term: Don’t fight the trend Don’t trade when you’re emotional Don’t let unrealized profits disappear

Whoever avoids these 3 deadly traps is already ahead of 90% of the market.