Trading your opinions on GoWagr can be a thrilling way to receive payouts while following your favorite events, from sports to entertainment and beyond. But just like any trading platform, it’s important to know what you’re doing to increase your chances of success.
While trading on GoWagr can be fun and profitable, it also comes with risks if you’re not careful. Many users make common mistakes that significantly impact their earnings, and being aware of these pitfalls can make all the difference.
To help you get the most out of your experience on GoWagr, we’ve put together a list of five common mistakes you should avoid.
1. Trading Without Research
One of the mistakes you can make is trading purely on gut feeling without doing any research. Whether match outcomes, chart-topping songs, or political results, always back up your trades with data and insights. Check what fans are saying online, recent performance, and what the stats say before putting your money.
For example, if you want to predict if Chelsea will finish Top 4 in the EPL, don’t just base your trade on your love for the team or maybe past glory. Instead, focus on their performance in the current season. Bad form, injuries, head-to-head records and so much more.
How to Research Effectively
- Stay updated on news related to your chosen market, like team lineups or artist releases.
- Use reliable sources like sports websites, music charts, or political forecasts.
- Check social media for conversations, it can indicate upcoming shifts in the market.
- Track historical data for patterns and trends.
2. Ignoring Market Movements
Markets on GoWagr are dynamic and can shift based on new information or events. Failing to monitor these changes can cost you. Always keep an eye on market updates, news, and trends related to your chosen market to stay ahead of sudden shifts.
For instance, let’s say you invested in a market predicting the outcome of a major football match. If a key player gets injured during warm-up, the odds can change dramatically. It’s up to you to know if it’s time to sell or hold.
3. Putting All Your Money on One Market
No matter how confident you feel, never put all your money into a single prediction. Spread your investments across multiple markets to reduce risk. This way, even if one prediction doesn’t pan out, you still have a chance with your other trades.
For instance, instead of staking everything on one major football prediction, consider diversifying into entertainment or political markets. You can balance your risks and increase your chances of making a profit even if one market doesn’t go your way.
Smart Diversification Tips
- Invest in different categories (sports, music, politics) to balance risks.
- Choose both high-risk and low-risk markets to spread potential outcomes.
- Keep some funds as a backup in case of unexpected losses.
- Regularly reassess your portfolio to maintain balance.
Learn More: How to Stake in a Prediction Market: A Step-by-Step Guide
4. Letting Emotions Drive Your Trades
Emotional trading is a surefire way to make bad decisions. Whether it’s loyalty to your favorite team or fear of missing out (FOMO), don’t let your emotions dictate your trades. Stick to a strategy and make calculated decisions.
Emotions often lead to chasing losses, that is, putting more money into a market because you want to recover from a previous loss. This is a dangerous mindset that can spiral into something worse. Instead, trade with a clear, rational approach.
Tips to Control Emotions
- Set a budget and stick to it, never trade with money you can’t afford to lose.
- Take breaks when you feel overwhelmed to avoid impulsive decisions.
- Analyze both wins and losses to improve future decisions.
5. Neglecting to Sell
Sometimes, holding on to a trade for too long can lead to losses, especially when markets move against your initial prediction. Know when to sell and secure your profits rather than holding out for a bigger win that may never come.
Selling early isn’t necessarily a sign of giving up, it can help you protect your profits or minimize losses. Don’t fall into the trap of holding on because you’re emotionally invested in your prediction.
When to Sell
- Monitor market conditions regularly to see potential shifts.
- Sell if the market starts moving significantly against your prediction.
- It’s better to secure smaller profits rather than risk losing it all.
Conclusion
Trading on GoWagr can be fun and rewarding, but it requires strategy and careful planning. Avoid these common mistakes, and you’ll be in a better position to make profitable trades.
The more you trade with knowledge and strategy, the better your chances of consistent success. So take these tips to heart, stay disciplined, and enjoy trading on GoWagr!
If you don’t have the app yet, download the GoWagr app on the Apple Store and Play Store to start trading!
