You biggest mistake is planting in soil in a pot filled with (potting soil or garden soil?) way too large for a seedling. Seriously. You have to start your seeds in tiny pots like 2" high by 1" wide that come as a tray 18"X11"? Do not start your seeds in a huge pot that holds all that water in all that soil with nothing to suck that water up (roots). The wet soil below the seedling has ample time to ROT your seedlings.
I would try again using potting soil as your medium. It is STERILIZED soil-like medium with very little actual soil. Use tiny tiny pots for seedlings. I use a spray bottle to water until those roots and plants are more mature. I also use a dome of plastic to make a mini greenhouse but you have to be careful not to allow that tray of soil to over heat or being out of doors in the sunshine. You will cook your seedlings.
If you start seedlings in doors even under artificial light you will need to acclimate those seedlings to being out of doors in sun light or you will kill them by sunburn.
You are most certainly OVER watering your seedlings planted in pots with soaked soil. Please give us much more detailed information such as; indoor cultivation or out of doors or green house? Fertilizer? SOIL type. Any and everything you've added to that system. If you allow the soil on the surface where the seeds are trying to germinate to dry to will kill your seedlings. The soil beneath those seedlings if it is too wet will cause rot. That water will not be available to the seedlings until the roots are able to get into the soil...if you have 6" of soil beneath that seedling that is 6" of soaked soil that will cause fungus/rot.
Tiny pots. Go to a 'Green Grow Plant Shop' where they cater to those who want to grow marijuana. They have the best technology and information with which to grow any indoor plant.
Explain your plans as best you can and we might be able to help you to not make expensive mistakes, mistakes we've already made and know well. Christmas tree farm grins! Is this your first attempt growing a crop of anything?
Soaking even 2"X1" soil for a seed will cause damping off. Do not add fertilizer until up potted to the next size; no larger than 3"X4" pot using potting soil. Never use garden soil in pots. Only sterilized potting soil medium.
Peat based compost is NOT a sterilized potting or seed starting soil.