Why Do People Trade?

Discussion in 'Trading' started by tradingjournals, Nov 10, 2013.

  1. I would not start trading again until I thoroughly understood why I deviated from my plan and took corrective measures.
     
    #71     Nov 13, 2013
  2. Agreed.

    pick and roll is a fav.

    So is the insurance commodities provide.
     
    #72     Nov 13, 2013
  3. I agree.....

    Our family gave up dairy farming in lower NY state and moved up to Cherry Valley, New York (Glensfoot Farm).

    The farm was just north of wall street and went up to Beekman Terrace on the East Side. Today the land is leased and has buildings covering it (in finacial district). There are plaques on the buildings naming who they lease* from (See street name mentioned). The original furniture is at the Met on loan from the NYS Historical Society.

    Farmers as a group saved the US at least five times in depressions. I got to spend years going around the US introducing small scale local alcohol production. Plants were sized to fit into corners of center pivots. (6 inch columns). Milk trucks picked up the production. (read "Fuel From Farms", my focus was converting a prior book and adding the financial worksheets to create the business plan)

    *The UN part was gifted.
     
    #73     Nov 13, 2013
  4. you know you are getting old when more than 50% of your thoughts are memories about the past

    it's just math

    nothing wrong with getting old

    but if you don't want it to start happening to you

    allow yourself to think 50% or less about the past

    and force yourself to think 50% or more about the future
     
    #74     Nov 14, 2013
  5. Some possible answers:

    1. The entry barrier is low, and one can easily learn how to write and submit orders with the push of a button.

    2. There are experienced people who know where the inexperienced make mistakes, and they take their opposite side. They repeat doing it until they have a reason not to, or that the inexperienced leave and the experienced start working on each other.

    Both sides pay bid/ask spreads, the broker commission, and other professional services.
     
    #75     Nov 14, 2013
  6. bighog

    bighog Guest

    The raw rookies will never leave, they are the "mothers milk" of the system itself. Shell games at the local county fair use the same technique to draw in customers, yes they are merely customers.

    What draws customers to the futures market? Right, greed. Get rich schemes and sex sells, always has always will.

    It has already been concluded that others are willing to take someone's risk if they have shot at the brass ring on the merry-go-round. Yes, greed is a merry-go-round that for many never stops spinning, greed sells.

    So back to the quote from the poster: There will never be "or that the inexperienced leave and the experienced start trading each other. " What that really says is he does not grasp the whole process itself, he fails to comprehend what the risk transfer aspect is all about.


    Gee, I must post this song again......... http://www.youtube.com/watch?v=QUyuE-uvdiM

    http://www.youtube.com/watch?v=ZPTMw67iDIE

    How many are willing to TEACH or show you a way without a hidden agenda to sell you something? Maybe just a book, LOL (you know who you are) :D
     
    #76     Nov 15, 2013
  7. Most people start because they think they will get rich quick. Most people give up because they can't!!
     
    #77     Nov 16, 2013
  8. cornix

    cornix

    This is popular misbelief that money to winners comes from losers in the same instruments. In fact losing traders constitute negligible amount of total volume. Profits come from the entire economy with financial markets acting as proxies. It's not as simple zero sum game as it seems. "Losing" side in particular instrument may actually benefit in different form from the same trade.
     
    #78     Nov 16, 2013
  9. After you take out money for Taxes, Health Insurance, Inflation, and Basic Cost of living expenses, employees are NOT getting paid. They are simply given enough to exist in order to be able to continue to work.
    That is a SLAVE by definition.
     
    #79     Nov 18, 2013