Other mistake: When Bastian and Atreyu gets to Xayide's castle, laser beams are are searching the ground for the intruders. Right before Bastian gets hit by the laser we see him running for Atreyu. Then we see light (obviously from a spotlight) being switched on and hitting the rock which Bastian jumps on. However we see the light from the spotlight move out of position as if the person controlling the spotlight thinks that Bastian will run further off the rock. When it cuts the light is back on Bastian and the rock.
Revealing mistake: Right after Atreyu discovers that Xayide is stealing Bastian's memories we see Atreyu and Falcor sitting on a cliff with an entire landscape in the background. It is easy to see the whole thing is fake, cause the camping place which they sit on shimmer and moves. The camping scene has been shot earlier and is now placed on a fake background, and someone is adjusting the picture.
Continuity mistake: When Bastian is holding the toast up in the air you first see a piece of tomato sliding out and falling down. When it cuts you see a tomato and some salad falling down. Then again when it cuts and the pieces falls to the floor the tomato is suddenly sliced and you see some pickles.
Deliberate mistake: When Bastian comes running up the stairs by the harbour, you can see a black couple on the right. The woman is wearing a grey coat with a black vest and a white shirt. The man is wearing a black coat, black shoes and white socks. When it cuts to Bastian running across the street, you can see the exact same couple wearing the exact same clothing crossing the street, but this time they are not walking together. The extras were used twice.
Revealing mistake: When the dragon is flying by the castle, the castle is shooting a laser at it as it flies by. Then the dragon explodes just as it flies out of camera angle. However it is that the explosion comes from the ground down by the edge of the castle, and not in the air where the dragon is flying.
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