Can you say forex is gambling? - page 3

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Sergey Golubev
Moderator
112529
Sergey Golubev  
Forex Casino - the thread with EAs (some EAs need to be fixed for new MT4 builds)
Chris70
398
Chris70  

Gambling and trading share the uncertainty of the next bet's outcome.

Gambling is betting despite negative expectancy and with guaranteed long term loss.

Trading is betting with a positive expectancy and long term profitability by virtue of the law of large numbers.


So "trading" can be both: if we are gamblers or traders essentially depends on the existence or absence of a proven consistently positive expectancy of the trading rules in use.

I believe a majority of traders is gambling without being aware of it. Some are even profitable and confound short term profitability with long term positive expectancy - just like you can be profitable by winning the lottery.

"Trading" is not gambling per se, but it can be if the individual treats it this way.

Sergey Golubev
Moderator
112529
Sergey Golubev  

Random N positions - expert for MetaTrader 5 

Random N positions - expert for MetaTrader 5

Advisor opens positions randomly.

Thus, a position is opened only at the moment of birth of a new bar - then the timeframe acts as the minimum time between openings. Each subsequent discovery occurs only if there are positions in the market that are smaller than a specified number of  Position Counter.

Take Profit , Stop Loss and Trailing Stop are applied to positions.

Vytautas Paliokas
231
Vytautas Paliokas  
If you trade without strategy and money management, yes its gambling . 
Emily Williamson
17
Emily Williamson  
“No, not really…trading is nothing like gambling if you know what you’re doing”. Of course at the time I had no clue what I was doing, but that’s beside the point.
Waseem Raza
10362
Waseem Raza  

If you research the loosing traders data in Forex and then compare with gambling  then you will find amazing facts,  gambler winning chances almost 47% and casino 53% but in Forex over 90% peoples are loosing , the only difference is in gambling you loose in short time but in Forex you loose by passing of time and takes stress and pain in free everyday it's a fact not opinion.

To predict a currency directing is most difficult task compare to stock , so not only peoples loose they also waste much time like in years whatever experience you gain direction problem will remain same. You can read a lot words from peoples and traders  like  Be Patient, Calm, don't get emotional.... and after all these words traders does only Martin.

A simple way can work in Forex but not direction so a simple Mathematical calculation can support better.

It's funny when reading Warren Buffet quotes but he is doing Stock trading and like carry trade type but he also faced big losses in last 10 years.

Pimpinela
119
Pimpinela  
All gamblers will tell you they follow a system that is scientifically proven. So yes, forex is gambling too.
Barsam Rayan
31
Barsam Rayan  

Life is gambling, using the right tools can increase your chances of winning.

Chris70
398
Chris70  
Barsam Rayan:

Life is gambling, using the right tools can increase your chances of winning.

... still it's called gambling as long as the chances of winning are below 50% (=as a result of winrate and avg. winner/loser size).

and it probably also deserves the gamble tag if the bet size is higher than a Monte Carlo simulation can survive.

What I don't understand is that many people actually think that the question wether it's gambling or not is up to their subjective perception.

It's not: either we have facts that prove a significant positive expectancy or we don't.

Cheers.

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