Nobody will be able to get every trade right in the stock market. Even the pros lose sometimes. They simply have more winners than losers, and they cut their losses quickly. This is why an investor or trader must perform due diligence before buying anything.
Another way to lose money in the stock market is by making too many trades each year. The commissions will kill you if you make several trades per week. Take a look at the table below for the cost of trades ranging from one per week to ten each week at $10 per trade. For example, you will lose more than $5,000 every year if you trade ten times or more each week.
|Trades Per Week||Annual Losses|