Would you agree with my theory?

B

BlackAdder

The Market is like a casino.

Some traders act like the "house".

The language of the "House" is support and resistance.

Leverage is a useful means of attracting the "punters" and later helps to fleece them.

Almost all technical analysis tools only serve to distract from the important aspects of the game.
 
Quote from Joab:

No

The forex broker IS the house he takes the other side of 90% of your trades.

Ask yourself why !
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Good point about the brokers, but I wasn't referring specifically to the forex market.

I think the points I've outlined apply to futures, options and equities alike.
 
Quote from BlackAdder:

The Market is like a casino.

No the market is not a casino, most people treat it like a casino and therefore lose money


Some traders act like the "house".

I am sure market makers are akin to the house in poker games where they take their vig

The language of the "House" is support and resistance.

There is no House language, the house makes money off of a bid/ask spread and could care less about S/R, only the spread and flattening risk.

Leverage is a useful means of attracting the "punters" and later helps to fleece them.

Leverage is what it is, what people use it for is up to them. No one is going to extend leverage to a known loser to bring them in when leverage can bring the whole house down if used improperly.

Almost all technical analysis tools only serve to distract from the important aspects of the game.

tools do not distract you from anything, it is the trader that gets distracted through improper use of tools or using way too many or expecting the tools to be a holy grail. Otherwise the TA tools just sit there on the chart and dont do anything
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Brilliant rebuttal...most trader do think it's like gambling and they forget that they can lose more than they bet thanks to leverage...they then blow up their accounts and blame their brokers
 
I didn't say that markets were a casino, only that they were like (meaning similar) a casino.

Some TRADERS act like the house because they have an advantage. Miss dealings of brokers & MMs are addressed on other threads.

With the first two points clear, my other points speak for themselves.
 
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