Hey traders,
We’ve all been there — you’ve got your charts up, watching multiple stocks bounce around, and you can’t resist the urge to click that buy or sell button one more time.
After all, more trades mean more chances to win, right?
Wrong.
Here’s the truth they don’t tell you: Overtrading can quietly drain your profits and leave you spinning your wheels without going anywhere.
The True Cost of Overtrading
Every time you enter or exit a trade, there’s a cost.
- Fees and commissions: Even with low-cost brokers, fees can add up faster than you think. Every penny spent on transactions eats into your profits.
- Taxes: Active trading can leave you with a hefty tax bill. Short-term gains are taxed at higher rates than long-term ones, and overtrading can leave Uncle Sam’ with ‘s tax man with a big smile on his face at your expense.
- Mental toll: Let’s not forget the stress. Constantly chasing trades can lead to burnout, poor decisions, and missing out on the bigger picture.
- Time: And this one’s personal for me. If you’re glued to your desk chasing every tick, what’s it costing you in life? I don’t know about you, but I’d rather spend my time out on the road with my Honda Transalp, sitting on the porch with a cigar, or fly fishing during the season. Markets are open every weekday — but moments with my grandkids? Those are priceless.
Overtrading is like spinning your tires on ice — a whole lot of effort with very little traction.
The Power of Trading Less
You’ve heard me say it before: “Keep it simple.”
The market is full of noise, and one of the biggest mistakes traders make is trying to catch every single move. But the smartest traders? They know when to sit still.
When you narrow your focus to fewer trades — or even just one ticker at a time — here’s what happens:
- Better decisions: You’re not overwhelmed by endless options. You can focus on spotting the best opportunities.
- More consistency: You’re not reacting to every wiggle in the market. Instead, you’re following a clear, repeatable plan.
- Less stress: Trading doesn’t have to feel like a frantic sprint. By focusing on high-probability setups, you can trade smarter, not harder.
And if I can add one more benefit — more time for you. When I place my trades, I’m not sitting there all day watching them. I let the trade do what it’s going to do. Then I’m out the door.
The market is here every day, but life? That’s what trading should give you — more of it, not less.
The Bottom Line
You don’t need to trade dozens of tickers to see results.
And you’re probably better off trading once or twice a week than being glued to your computer.
Because in the end, sometimes the best move you can make is to simplify, narrow your focus, and let the market come to you.
That’s exactly what I did when I put together my One Ticker Challenge.
I spilled all the details in this video right here! You’re going to like what you see.
Trade well,
Jack Carter
