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<p id="isPasted">Overtrading is the excessive buying or selling of financial instruments, also known as churning. In other words, having too many open positions or using a disproportionate amount of money on a single trade. There are no laws or regulations against overtrading for individual traders, but it can be damaging to your portfolio. For trading brokers, overtrading may hold serious consequences, as they are regulated bodies.</p><p>Your trading style is an important component of trading volume. This means that your preferred style should guide you in terms of whether you are overtrading or undertrading. For example, if you’re a position trader, …</p>