years ago, i was told in college that markets are efficient. when i started trading people told me that it is gambling. when i scored on a certain day or for months straight, they saw, but refused to believe. read this article and ask how many who write for media know what's really going on. how many people attempt to smash reality. how many think they know everything about something when they have done absolutely nothing.
What exactly is retarded about the article? You mean the MAMA, TASR, et al, wild spikes on bullcrap press releases, is not reminiscent of the dot com era? You gots to get real, neal.
Actually, the dumber you are , the more likely it is you will have large gains in a short period of time. You are also equally likely to give it all back plus interest.
there's still facination with those who choose to make a living, or attempt to, with Day Trading. seems the article was paultry, in trying to scrape up a story regarding this issue
This is mathematically nonsense. Daytrading is much much safer than long term trading/investing. What makes DT dangerous is the use of loan money (ie. margin). Trading own money is the safest of all: you risk your money only a fraction of the time, you can exit and reenter as needed. Not with long term investments. And: what long term investors/traders dont see is this fact: the traded stock has a market value, each and every second. This value will fluctuate around a mean due to how the company does, the overall market, the competition, ie. supply and demand. But usually the market value will reflect what the company is worh in real. Since the average company does not make more than the average per year its share price usually will just reflect this. And also due to shorting its market value will not change much. So, the consequence is: to make the highest profits in the stock market you have to be an active trader, swing from one to another; the shorter the interval the more you will make. But as said: not with loan money.
If this is so true then why is it all the rich peope I know are long term investors and all the poor people I know are daytraders? Also, why is the Forbes 400 full of long term investors and not one single daytrader? Hmm, interesting. Btw, you don't have to answer the question, I already know the answer.
ALL of the poor people you know are daytraders? i mean, dont some of them like work at McDonalds or something? -qwik
Nope. All my poor friends that worked at McDonalds quit to become daytraders. And now they all wish they hadn't. They had no idea how rich they were making minimum wage until they became daytraders. LOL.
Just take a look at Paul Tudor Jones, Monroe Trout and many others: http://www.streetstories.com/stt.html