I heard this question, and have seen many times in internet asking
this question from experts.
Is Forex trading ‘Gambling’?
It’s really an intriguing questions isn't it?
First of all to clear this out some should
have to have a better understanding on both Subjects, if you
Don’t know what Forex trading is... You
better not to make any assumptions.
So What Forex trading really is...
If your search the internet you'll find
plenty of answers explaining about Forex trading.
As for the basic understanding Forex
trading can be described as
Selling and buying Currencies and
repeating the same to make profits.
For an example, think this scenario..., if
the price of Bread change every minute in to a new price in the retailer shop
where you buy them. And you see the current price as 1.2 USD. You buy one bread
and as you finish buying, the price changes back to 1.5USD in the next minute.
Now if someone comes and ask you to give it to 1.5USD, if you make the
business, at that point you make a profit. But all this is a coincidence for
you as you were not aware that the price will go up. And you may get interest
of this and you will buy more breads and wait till the price go up, and you
really don't have any idea of the logic behind the price changing. Then this is
called gambling. Depending on luck.
But if you know what will happen next by
doing analysis of the market, and do this, no one can tell you are gambling.
And the other way around in gambling, not
every gambler just focus on their luck, they also do some analysis, but only
thing that may only depend on someone’s thought. There you won't find any good
resources for analysis unless you are a professional, who can understand people
by their gestures.
Compared to gambling Forex traders has
more resources for their analysis to make decisions by their own with
confidence rather than depending on luck.
But as I believe most of the Traders trust
the luck and little of analysis. So be careful.
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