How to make money from Gambling vs Trading – Lesson 7
A lot of traders and even common people think that trading stocks is just gambling where you just do a bet and if the chance with you and you are lucky
you will make money. That is not true. When you gamble you understand that you are doing a crazy thing since you risk everything like buying lottery tickets.
The main goal for a gambler is to make money by jackpot. The gambler does not understand that his chance to get the jackpot is like 1 chance out of millions of chances.
that’s why only one who get it if he is right but all the millions of gamblers lose each time. the reason for that is the type of risk you are taking.
A gambler risks 100% of his money to get money if he get the chance and he is lucky.
Trading is totally different. trading is you bet on a stock, but you will never risk all your money in it, but you risk only little bit that you can afford to lose.
Second when you bet on a stock you have 50% to win the trade. If there are one million trader in a stock, their might be 500k winners. That means 50% winners
and 50% losers. Professional with good management and risk control can make money in general without losing all their capital.
Beginners on the contrary still believe on hope and luck to make money.
So controlling risk in trades and in the account management and using probabilities techniques, professional traders can make money consistently.
Any one who learns right can make money. Gamblers always lose.
To learn more about how to manage your trading account and trade well using probabilities, please check our training levels by videos and e-books or use our subscriptions.
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