Do You Think Trading is Gambling?
- Thread starter nysestocks
- Start date
nysestocks
Guest
If you go long or short in "a" market, what have you done with your money?
Yes. No. Maybe....
This is an interesting thread. However, instead of clarifying the role of "Traders", I think this question plays into popular misconceptions about us. "Traders take risks and make(or lose) money! Those gamblers! Traders are bahahahaadddd!"
If Wal-Mart buys 10,000 junkets from China(risk), and plans to resell them to some wary US consumers next month(reward), are they gambling, investing, ....or trading?
If a monetary Jesus takes a heavy stake in a financial services company(let's say Goldman Sachs) during a time of recession obsession(with many predicting economic collapse), is he gambling, investing, ....or trading?
If Mary, who's married, is "exploring other options" with Gary, is she gambling, investing, ....or setting up a trade?
Ultimately, the OP's question is subjective and can only be answered definitively by each individual according to their ability to access risk & reward.
The real question about any endeavor(trading or otherwise) is simply this: -->> Is the risk you are taking worth the potential reward?
If your answer is "No", ...or "I don't know", ...then you are gambling.
This is an interesting thread. However, instead of clarifying the role of "Traders", I think this question plays into popular misconceptions about us. "Traders take risks and make(or lose) money! Those gamblers! Traders are bahahahaadddd!"
If Wal-Mart buys 10,000 junkets from China(risk), and plans to resell them to some wary US consumers next month(reward), are they gambling, investing, ....or trading?
If a monetary Jesus takes a heavy stake in a financial services company(let's say Goldman Sachs) during a time of recession obsession(with many predicting economic collapse), is he gambling, investing, ....or trading?
If Mary, who's married, is "exploring other options" with Gary, is she gambling, investing, ....or setting up a trade?
Ultimately, the OP's question is subjective and can only be answered definitively by each individual according to their ability to access risk & reward.
The real question about any endeavor(trading or otherwise) is simply this: -->> Is the risk you are taking worth the potential reward?
If your answer is "No", ...or "I don't know", ...then you are gambling.
nysestocks
Guest
Not I, nor You, nor Anyone, can change the fact.
All that matters is as follows.
When you place a trade in any market, you are not sure of the outcome, no matter how good your analysis is!
Therefore, you are putting your money at risk.
When you put your money at risk, you are taking a gamble with it, aka, gambling!
The degree of gambling, or how much risk you take on, is a different matter entirely.
Some traders are clever gamblers, and some are not so clever, hence, we have the good, the bad, and sometimes, the ugly!
All that matters is as follows.
When you place a trade in any market, you are not sure of the outcome, no matter how good your analysis is!
Therefore, you are putting your money at risk.
When you put your money at risk, you are taking a gamble with it, aka, gambling!
The degree of gambling, or how much risk you take on, is a different matter entirely.
Some traders are clever gamblers, and some are not so clever, hence, we have the good, the bad, and sometimes, the ugly!
Are you a trader? (that makes his living from trading)?
Yes | No ?
so, do you believe you make your living being a gambler?
or are you, like so many other lesser educated persons lump risk taking in with gambling?
would the same questions apply to anyone opening a business, buying inventory in advance of sales, advertising those products and hoping that he / she disposes of them for more than what they bought them?
or, do you equate being a middleman / middlewoman with being a gambler?
nysestocks
Guest
Any time you put your money at risk you are taking a gamble, aka, gambling!
nysestocks
Guest
It is logical to deduce that those who do not see trading as gambling do not fully understand the purpose of risk management!
The first step to real success is acceptance of the facts.
The markets know what to do with stubborn traders!
The first step to real success is acceptance of the facts.
The markets know what to do with stubborn traders!