Topic: Is trading really worth it? - page 7. (Read 1686 times)

I don't know s8&^ about gold but forex is far more predictable than crypto, you have dates when statements are released, you have a lot of information about who is going to raise rates by how much, you know the economic context, you know the debt of a country, the status of their economy, if you're careful with leverage and you stick with small amounts you can make some $ but once you dive in too deep you're going to get recked like in crypto by something unexpected.

As for everyone saying how crypto trading is profitable due to knowledge and experience, crypto trading seems like that because in bullish seasons everything you would trade was going up, everyone was making money, some were making money trading shitcoins, and were happy with their strategy without realizing they would have made the same by just keeping the coins. When the bear season started, trading became not so attractive anymore, because this is where you would have to actually guess the price swings, and all the "knowledge" didn't help you once.
But just like gamblers who are sticking to the story of having a "system" so do crypto traders, they claim to have a model, but in reality, is just guessing work.

You see the value of trading if you understand how this thing works, and you can maximize that potential to make more money. Trading is fun and worth it, the risk is there which is normal but if you do this professionally, you can go further and for sure reach your peak. Be responsible if you want to make money in trading, there’s no shortcut for this, so take every lesson and do better always.

Trading is also completely transparent but it requires knowledge. I am referring to less risky assets like gold, crude oil, foreign reserved fiat and bitcoin.

A novice trader can decide to trade shitcoin, that is left to the trader as he continue to lose the more, even an experienced trader can trade such coins and lose. Also there is a chance of gamblers that bet often to fall into a fixed match. There are manipulation in this world but experience makes them avoidable, most especially in trading.

You know how definitely it is that forex is not like what you are talking about. In crypro, you can be a trader, not greedy, go for good coins like bitcoin, ether or litecoin but not the existing over 20000 shitcoins. Such traders if they are professional, they make profit and far better than gambling if the right choice is coupled with discipline and experience.
 
I was a core gambling addict before, I have traded and know the pros and cons as well. Trading is gambling for newbies but not gambling for experienced traders, they make profit, even with just $100.

But I do not encourage people to trade though just because new traders are liable to lose all there money just like gambling addicts. But for those that are able to use the amount of money below what they can afford to lose to start for like a year or two, they will understand what I am talking about, that trading is different from gambling and better.

I trade with seriously but gambling for fun with low amount though.

It does take years and very long pile of effort and understanding before you could really make yourself sustainable on trading.This isnt for everybody even if someone do wishes on going full time with trading and even myself i do even hardly able to maintain or sustain considering that i've been doing trading for 5 years but i cant really see myself on going full time and leave my day job just to
make some full time trades.

Well, its a personal choice since there are people who could cope up despite of those conditions.Not all would really be that too good on ending up on good results from time to time.
This isnt newbie friendly but once you do able to take a good grasp into it then expect that you are really indeed doing good.

Yes of course trading is always trust worthy. If we see the current many giant people are coming into trading. But it's true that not everybody can do profit from this, for gaining profit he have to learn how to read and analysis the candles. There are many tutorial on you tube or google for this.
And In my opinion, gambling and trading should not be combined. Because if we look at real life, people make a living by buying and selling goods. Even there, a trader has to buy less and sell more, we can't call it gambling anymore. I would also compare cryptocurrency trading to this because here the profit is made by trading by selling cryptocurrency for more or less.

I think your brother can try to trade but before that, I suggest your brother read many tutorials or lessons that will be useful for your brother. I'm sure some people just buy low and sell high. The meaning of high here is not always related to the new ATH but maybe it's just a figure of speech and doesn't think too much about it. The key to trading is being willing to learn about trading so your sibling can buy low and sell high. Or maybe your brother can try the demo account provided by Binance to learn more about trading.

As OP had said that his brother understood technical, if truly he understood it to the depth, then he can make a trading a full time job, but he should note that emotions plays a very huge role in trading, there are lots of people who knows technical analysis to the core but they cannot control their emotions, not all time that the chart will be right, you have to combine fundamental analysis and emotion, if he can't do those stuff  he better get a job and it will be better he just buy and hold coins for either weeks or months then sell off while at profit

Of course trading is a valuable thing. Of course trading is a valuable thing for those who can trade and have a good idea about trading.Trading may not be valuable to a person when he loses a lot of money from trading.At present many people are involved with trading platforms but not everyone understands about trading.I have also made a lot of money from trading platforms and I have found that credit platforms are a very valuable thing. I realized that only after gaining.

It is not as weird as it may seem at first sight, lets take a look at supermarkets, super markets do not really produce any of the products they sell and instead they just offer them to the public at a convenient place and they earn a profits from it, so while they are not providing products they are providing a service.

But what service traders provide? They provide liquidity to the markets and make the process of price discovery, the process in which we determine the price of everything, more smooth, some can earn money from the activity but they are a minority as the majority are not good enough to do this and lose their money to those which have a higher skill level.

A beginner can't have crypto trading as a full-time job. Trading needs broad understanding because it's a long process of learning. You can rely on it when you already know the basics plus the technical analysis and strategies that you can apply. It needs time and courage for you to understand everything. It has huge risks and might lead you to losses if you'll enter it without enough knowledge.

It can make sense depending on what kind of person your brother is. Does he watch world news and seem to be well-versed in the thing around the world/world trade? Try to engage you in any topic related to politics, wars and history? Cause if he checks most of those, he's likely just want to get a few % gains from his interest/knowledge about the things.
Say, Russia amassed their army along the Ukraine border a few months ago, if he watch the news and was confident about intel there might be a war break out soon. That he knew about Ukraine is a major exporter of wheat. That Russia's oil and natural gas sanctions for the invasion might drive the price higher. Those kind of things aren't wild guesses, trading without any directions or gambling like someone in here said.

It was like crypto where we, holders and investors try to anticipate an upcoming update or having and speculate better sell now or holding it. Sort of like that but his market is more real, more related to world events and the volatility isn't high like the crypto market.

Yeah it is really is trading is good but one must have a good understanding of the market and the chart both  up moving and downing.
I don't think they are the same as gambling. They might have similarities but they don't really do same thing, but in the end all leads to making additional funds and Profits.
Trading is not for the weak as you need daily routine so as to cash out funds. The market is indeed volatile and lots of things happening.

95% of traders lose money, so no. There are tons of things you cannot predict (apart from BTC halvings).

100% of hodlers gain money, provided they have a long-term timeframe.

I agree with what you’re saying, but if we had 2 groups of average people, one group just does short term trading, and the other group does a little short term trading with a focus on long term strategy, which group would perform better trough out changing scenarios? That’s why i think the second approach is better, no matter how good of a trader you are. No human can consistently perform at the highest level, so it’s important to create some securities that are independent of your own individual performance. This doesn’t mean people can’t trade in the short term anymore, but making things more reliable. The rational approach would be to choose both, or just the long term approach for people who are not into trading.

Well if short-term trading was not profitable why would traders still do it? The truth is there are a gazillion strategies to "play" the market. It all comes down to the personality and temperament of the trader. For example if you are high in negative emotion sensitivity you might want to play the short-term - as seeing a position being on a significant drawdown for a lot of time might take a toll on your quality of life and trading.

Moreover your trading style needs to suit your lifestyle. Not everybody finds trading to be fulfiling, nor everyone likes to spend most of their awake time watching charts move on a monitor (although with today's technology you can get yourself an impressive setup with led lights, curved uhd monitors and all that good stuff )

There’s just too many factors in the short term: worldwide market with millions of participants, different volumes based on exchanges,  so many different financial instruments(etfs, cfd, futures options, spot), considering inflation, interest rates, conversion rates between different currencies, it wont go up as high as other investments when the economy recovers, gold mining, commodity demand, huge influence from big institutions, short term news, gold discoveries, politics, custodian risk.

Somehow you need to translate all of this information into how the price will rise or fall in the next minutes/ hours/ days. If this task is impossible to solve in code, where you can express math freely, so how should technical analysis solve it?

And then the question is, can all this effort beat the market, where you just need to save into an index or something that gives you like 7-8% on average in the long term? If not, its not rational and you did worse, even tho a lot of time was spent.

And the other question is, can it outperform Bitcoin? And even if you don’t trust Bitcoin, there’s ways to diversify investments, Stocks pay yearly dividends etc. There’s so many strategies that can be built, that can outperform the short term approach, with much less risk and work required.

Only a minority will succeed in the short term, so I’ll never recommend it, if there’s not already a strong long term strategy in place, and short term trading is done with a few % of his overall investment portfolio as an addition. Idk any successful trader that just had a short term strategy and not both.

Gambling is, though, completely transparent. You know the rules, you know your chances. Trading is an entirely different thing, completely opaque. You only know the price history, and can only make some arbitrary assumptions.

Both gambling and trading have some very important in common: The whales beat you. You can't win poker if you're playing with a billionaire, it's a matter of chances. And I presume it's the same in trading; it's a matter of time until you lose that money, because an institution knows more than you do.

It's more rational than trading cryptos, but yeah, it still doesn't make much sense to try to live off gold trades. Does it?

Trading can really be a profitable career but never consider quitting your job. Just make it as a side hustle of yours whenever possible. Trading is more like a business for me as it needs a huge capital when the market doesn't go your way. You need to have a deep pocket to still trade if the market continues dumping and stay at a lower price for some time.


I don't think there is someone that does trading profitably just by doing that. Market is very unstable and global factors also affects the movement of it.


Trading is very different from gambling. You can calculate your risks in trading by using different strategies, indicators, and charts that will help you decide your plan. Unlike in gambling, you mostly depend on your luck to win.

Crypto trading here in this industry is really tested for us to make money, you always have to have an idea or knowledge and you know you have to analyze when the possible decrease and increase in the price of the token you have, so you know when you should buy and sell so you can make a profit. Then buying at a low price and selling at a high price is also very proven and many people make money with this method. Just let me repeat you know you should analyze the price movement on the chart graph on an exchange site platform.

Yes it can be applied to crypto too but it depends because of the nature of the crypto market. The market is very flexible and volatility and most time irregular things could make the crypto market falls overnight. Many things are happening in the market which are not supposed to be so. The forex market is very understandable there are things we need to look at to predict the next possible movement of the market.