Methinks you didn't understand it at all. In my mind, trading is not investing. They are mutually exclusive concepts.
There are various kinds of business. Trading and stock investments are two unique businesses. All business involves investment.
A trader is basically a businessman who "invests" money in trading.
In some cases an investor may just invest as a silent partner and his working partner may do trading with the investment.
In both the cases trading is a business which involves investment.
There are two kinds of investments in stock market. Value based investment and speculations based investment. The former we wish to call as "investment" and the later we tend to call as "just trading but not investment".
A trader may have done 1000 tradings in couple of months. It is just a part of his activities in his trading business.
An investor might have studied the functional analysis, news and events 1000 times in a couple of months. It is just a part of his activities in his investing business.
Also we have to keep in mind that any business (including trading) is both an Art and a profession.
They need creativity, intuition and passion for sustained success.
In any art there is nothing right or wrong. The one and only way to judge our strategies is by "sustained success".
Why I am putting stock investment and trading into one box called "business"?
Because both the so called "investment" and the so called "trading" needs the same kind of attitude for sustained success....an attitude of respecting and protecting the money.
Business is a tree...
Seed (business attitude): Rule No.1: Never lose money. Rule No.2: Never forget rule No.1.
- Warren Buffett
(Warren Buffet has this one rule as seed, and his many other rules are just parts of the tree that grow from this seed.)
Root : Studying the market psychology
Trunk : Broad knowledge
Branches : Specialization
Leaves, flowers and fruits : Profits from the business
Probably 99% of the traders lose money for a simple reason that they have an unrealistic goal of reaping the fruits without a seed (business attitude).
(If a trader see Warren Buffet as an investor and his business attitude has got nothing to do with trading then he is missing the whole point.)
The purpose of debates is to learn something new. Otherwise it becomes one more "empty" argument.
