Is trading Gambling or not .."What say You" Vote here.

[Trader28Lite]

Quote from Keeper:

It's not gambling, when your trading strategy has a proved positive expectancy. When the odds of winning are firmly placed on your side.

The trading strategy can only be proved by demonstrating through back testing and more importantly through live market forward testing with documented statistical results.

Professional gamblers achieve the exact same thing but they dont kid themselves that it isn't gambling

 

[Keeper]

Quote from Trader28Lite:

Professional gamblers achieve the exact same thing but they dont kid themselves that it isn't gambling

In that case, the professionals are actually by definition not gamblers.

 

[Trader28Lite]

Quote from Keeper:

In that case, the professionals are actually by definition not gamblers.

And by that definition 95% of traders are gamblers

 

[aPismoClam]

it is if you don't believe it is.

 

[Keeper]

Quote from Trader28Lite:

And by that definition 95% of traders are gamblers

Which is why 95% who attempt this game eventually fail, like normal gamblers.

 

[Trader28Lite]

Quote from Keeper:

Which is why 95% who attempt this game eventually fail, like normal gamblers.

And the 5% who succeed are "professional" gamblers... but I'm sure trader sounds better when we are trying to impress the ladies

 

[Don Bright]

"I say" - " a lot of discussion about something that is really a personal opinion at best. Some trades are gambles, plain and simple...some are "calculated risks" (not much better), and some "trading" (vs. single trade) is a logical, rational approach to participating in the marketplace.

I count cards (not really gambling in the long run). I "gamble" on occasion when grabbing a couple thousand shares of a stock I know little about ...."just because" (gap down, gap up, "shouldn't go any lower/higher)... experience tends to lead to better "gambles" - but my primary trading is what I consider simple active participation from a position of strength (capital, education, experience, all the "good stuff").

FWIW,

Don

 

[ElCubano]

Quote from Keeper:

It's not gambling, when your trading strategy has a proved positive expectancy. When the odds of winning are firmly placed on your side.

The trading strategy can only be proved by demonstrating through back testing and more importantly through live market forward testing with documented statistical results.

can you garuantee future positive expectancy??? that's where the gamble comes in.....but then again pretty much everything is a gamble...

 

[HolyGrail]

If all trading is gambling then obviously all gambling is trading. Since we know gambling is not trading this discussion should end.

 

[romik]

A gamble is presence of risk of losing money, even if not all money. Successful traders always incur losses, their win ratio is higher though. So every trade might be considered a gamble as various factors might reduce probabilities, but overall performance of a successful trader makes it not a gamble. Technically though any single trade is a gamble IMO.

EDIT: I think I pretty much performed a copycat post on Don Bright, sorry man