How do you guys deal with this?....Intraday trading = gambling | Traders Hideout


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How do you guys deal with this?....Intraday trading = gambling

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London, United Kingdom
 
 
Posts: 13 since Sep 2016
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treydog999 View Post
The answer for me is not in the making or losing money, or in the time frame. its in the expectancy.

You can win a lot on a roulette table if you hit a 0 with all your chips on it. That profit does not mean you did not gamble.

You either have mathematically positive expectation or you don't.

HFT trade in the micro seconds are they gamblers? Absolutely not.

Time frame is not the issue, the edge your system has is.

You do not know your expectancy before trading though, you can guess it, but essentially you are always gambling based on the assumption that you have a positive expectancy.

HFT absolutely are gambling, a lot of high frequency trading fails and loses a lot of money, in the markets anything can happen and that uncertainty is applicable to any trader.

Poker is also gambling, and you can have a positive expectancy.

I know 'gambling' is a dirty word that we want to avoid but it's best you accept and work with the fact that trading is gambling than try to pretend otherwise. This isn't a bad thing, it simply means that the markets are uncertain and do not always have underlying logic or reasoning, knowing this - we can understand what we do not know and use this to benefit our decision making without reasoning flaws or behavioral illusions.

To those that try to discourage you to 'gamble' in the markets, tell them plain and simple: You choose risk and adventure than stability and boredom, and are prepared to accept your fate as winning, or losing.

Finally, you must make a choice: Are you going to take on the challenge of consistent profitability, knowing the possibility you might fail, or will you not - it's really that simple, once you've made that choice and committed, it doesn't matter what others think.

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