Good post. 1. He wasn't a traders a'hole. 2. Bull market thrusts are made for people like this. 3. Its sad so any newbies should pay attention and really spend some time at ET understanding edges, exits and money management.
Stupid post. He got the idea at school. If he hung out anywhere it was at a Singapore stock picking board with his gambling mates. May they play hard to fund real traders.
" Quote from Cesko: One of the functions of free market is removal of money from weak hands by strong hands. It's healthy for society as a whole. Details?.........After the 90's, and the market crash, countless numbers of day traders lost everything. No money, and unemployed...how's that good for society as a whole?" Interesting how during that period, the brokers seemed to do very well. Those guys are just so smart, how did they always seem to be on the winning side of the trade? More like removal of money by the uninformed rule followers by the informed rule breakers.
Look. Its always sad when a gambler loses their money. And worse when they take their family or friends with them My boss in 1987 maxed out his credit cards and borrowed (fortunately a little) money from his mum. This refocussed him on his work. My former boss leading up to 2000 tripled his money over a couple of years. Then he cut it to a quarter. Now he's refocussed on his work. Money management, stop losses, and a learning process meant that I didn't do nearly as well in those times. But now I've learnt so I no longer have a boss. I'm a trader, my broker (IB) does well out of me, but I don't mind because they facilitate my business at a very low price. I tend to think that I'm taking money of lawyers, dentists and doctors on a day by day basis ... because they're smart and thus believe that the markets will be easy for them. By taking a few thou from them I refocus them on their real work. We provide liquidity. We provide price discovery. We get paid for doing this well. Gamblers get into the frothy tops of bull markets, get very excited for a bit and then pay the price. Its sad but at least they don't usually get thrown in debtors prison for their foolishness. You can't keep people like this out of the markets because you'd be denying them the chance to learn and ultimately do well. The more extreme sob stories are a price of capitalism (and like all bloody streets, sell more newspapers). I actually feel a lot more sorry for the folk that try very hard to learn to be traders and never succeed. Its almost enough to make one join the training game - but not quite.
good story. Sorry I don't feel really bad for him...a little yes, but that's the hole you dig; hey I've lost some too, but peanuts compared to this guy...but I also had stops in place and the like
Cant feel bad for a guy who was clueless and thought he was smart. We are responsible to educate ourselves... If he couldnt find time to learn some things while the market was running up........ And dear old dad. Just a perfect example of Greed.
So what is the moral of the story. These stories are fascinating because it could be you or someone you know. I wonder how many accounts have been blown out since the Dow started trading, how about futures? forex? where does that money go?
He maxed out all her credit cards and spent all the money in her savings account and talked her into taking out bank loans until they wouldn't give her no more credit. Too bad she didn't leave sooner.