Before I go up to Nashville to play some tunes, my Friday night mellowness is giving me a different take on this...
We can gamble and win. I've done that. Back in 2002 Euro was a sure long, it was ridiculous, and I went all in all the time, with absolutely no knowledge whatsoever of fundamental. technical, or any kind of analysis, I did what they told me on Reuters and Bloomberg. I made a killing, at first. I thought it was free money.
Then I lost it all. I used to figure out how much of my account I could put on a trade without getting a margin call and didn't use stops. I'd see a news spike and didn't even know what a news spike was. I'd just buy, buy, buy on the spike and lose my ass on the retracement. I had never seen an economic calendar. I didn't know what a moving average is.
The point being, you can make this gambling if you want. You might win, but you could win a million bucks on the lottery, too, it's 1 chance in 40 million. I prefer the odds being with me and not against me, however. I go a lot slower now, use a lot less leverage, and let compounding do the work for me...
We can gamble and win. I've done that. Back in 2002 Euro was a sure long, it was ridiculous, and I went all in all the time, with absolutely no knowledge whatsoever of fundamental. technical, or any kind of analysis, I did what they told me on Reuters and Bloomberg. I made a killing, at first. I thought it was free money.
Then I lost it all. I used to figure out how much of my account I could put on a trade without getting a margin call and didn't use stops. I'd see a news spike and didn't even know what a news spike was. I'd just buy, buy, buy on the spike and lose my ass on the retracement. I had never seen an economic calendar. I didn't know what a moving average is.
The point being, you can make this gambling if you want. You might win, but you could win a million bucks on the lottery, too, it's 1 chance in 40 million. I prefer the odds being with me and not against me, however. I go a lot slower now, use a lot less leverage, and let compounding do the work for me...
"The time to act is when others show signs of tire." --W.D. Gann