In the general public, any conversation about trading in the financial markets (and in particular day trading) usually leads most to conclude that it’s just another form of legalized gambling. People have been led to believe that sane people “invest” and only the foolhardy try to get in and out of the market in a frequent matter. To most, investing in the stock market translates into buying and holding for the long-term and futures … well, that’s tantamount to spinning the roulette wheel in Las Vegas.
This perception comes from the fact that people’s first exposure to futures trading usually involves a friend of a friend or distant relative that lost a bundle trading commodity futures, and it’s a rarity to find a profitable futures trader in the circles they frequent. This almost always occurs because people get into trading on some sort of tip that appeals to their base emotion of greed. Generally these folks don’t know what they’re doing and thus become fodder for the professional trader that makes her living from the ignorant market participant. Similarly, the casino will produce huge profits from the typical gambler who doesn’t understand… Continue Reading
