Is this a gamble or a trade ? The clear test that works

[jossiel]

I never support gambling because gambling only brings people losses and never profits. Gambling is like a terrible disease, once caught, the addiction to gambling does not stop until it is over. A wise person never fights fate, a wise person is one who tries to make fate better with his knowledge.

And you can see that many of us here are gamblers and at the same time are traders too. But it's okay to balance things.

If you know that one is going to plagued you then it's best to stop it. Each of us can have our own way of testing what is good and which is not.

My description of wise person is that someone who understands the risk they take.

[yhiaali3]

Leveraged trading and gambling are very similar to each other, but spot trading is slightly better and less risky than gambling and futures, although even spot trading in highly volatile currencies like memes is also similar to gambling.

In any case, in my opinion, a loss is a loss, whether in trading or gambling, but in trading you feel that you have done all that you should, so its psychological impact may be less than in gambling, but it is a loss in the end, and therefore it is better, whether in gambling or trading, to risk only what you can afford to lose.

[JaanusRaim]

I have a very clear test that works 100% (at least for me) for making sure am I gambling or trading at the moment.

If I gamble and I lose, I will feel terrible. Because I have lost valuable resources for nothing.
If I trade/invest and I lose, I will feel good. Because I know and feel that the lost trade that I have made using all my resources in the best possible way I was able - that this lost trade is a valuable asset from what I and others can learn much. A lost trade is as interesting and useful as a negative result in science (hypothesis that is proved to be false).



(I have not gambled in markets long time because it is relatively easy to be fully aware for avoiding it some minutes or hours I am behind my trading desk. I have gambled occasionally in everyday situations (for example in traffic) when I lose my awareness - is is difficult to be 24/7 fully aware).

There is no inherent need to lose in the crypto market. At least, that’s the approach I’ve taken, and it relies on a few simple truths.

First, Bitcoin is cyclical. We know it tends to drop for 6 to 12 months following a halving; the rest of the time, the trend is upward. If you trade long-only, there’s often no need to close losing positions—they eventually turn green.

Second, we know the floor of any crypto winter: it’s when the price approaches the mining production cost. That’s the time for major entries, creating a foundation that allows for profitable averaging in future investments.

When I want to speculate with leverage, I use an amount equal to 20% of my TRX holdings. Since my TRX is staked on Cryptomus at a 20% APY, even a total loss on derivatives technically costs me nothing—the rewards cover it.

I don't need the "valuable experience" of losing trades. No technical indicator can predict a bombing in Iran, the closing of the Strait of Hormuz, or the political whims of world leaders. We live in a time where the bad mood of a dictator can wreck the global economy, but Bitcoin is what preserves capital in that chaos

I like your attitude. Yes there is no such thing as losing money with crypto in the long run - some wins are just bigger and some smaller. Last but not least, if we are not greedy we can trade with the house money (free starting capital from faucets like FairMillions).

Crypto is a win-win situation.

[Webetcoins]

Leveraged trading and gambling are very similar to each other, but spot trading is slightly better and less risky than gambling and futures, although even spot trading in highly volatile currencies like memes is also similar to gambling.

In any case, in my opinion, a loss is a loss, whether in trading or gambling, but in trading you feel that you have done all that you should, so its psychological impact may be less than in gambling, but it is a loss in the end, and therefore it is better, whether in gambling or trading, to risk only what you can afford to lose.

Spot trading is decent, it could make you money and the possibility of you losing all your money suddenly is not existing there, whereas you could lose all your money in trading leverage and also gambling.

If you really want to make as much money as possible, do not rush into it because it is not going to make that much sense and you are not going to get that kind of return, the smarter way is to be slow and do spot and learn how to read charts.

[Doll2233]

Saying we feel good after losing in a trade is just a delusion because loss is a loss.Jumping in Without any prior analysis and just guessing the market is gambling. When we jump into trades blindly and it hits back, we end up losing money we worked hard for it changes the way we are thinking and then we start chasing losses without having any strategy . The real difference between trading and gambling is having a proper strategy if we do proper market analysis and manage our risks and still trade hits the stoploss then it's just a part of trading . It is better to accept the reality instead of living in delusion and saying it's fun . When we stick to our rules it is called discipline. But gambling can ruin our entire portfolio.

[Odogwu-Blockchain]

If I gamble and I lose, I will feel terrible. Because I have lost valuable resources for nothing.
If I trade/invest and I lose, I will feel good. Because I know and feel that the lost trade that I have made using all my resources in the best possible way I was able - that this lost trade is a valuable asset from what I and others can learn much. A lost trade is as interesting and useful as a negative result in science (hypothesis that is proved to be false).

I love your experimental test, it actually makes a good clarity difference between gambler and trader. Some people do view trader as a gambler when he loses lot of money, doesn't sleep over trade and spends more time on the screen looking at the charts more often.

A trader gains a lot of lessons when he loses in many trades, he picks up and learns how to take the next move again, changes strategy again and again that helps out someday. Gambling in real sense has nothing like that, it's purely waste of resources.

[DanWalker]

If I gamble and I lose, I will feel terrible. Because I have lost valuable resources for nothing.
If I trade/invest and I lose, I will feel good. Because I know and feel that the lost trade that I have made using all my resources in the best possible way I was able - that this lost trade is a valuable asset from what I and others can learn much. A lost trade is as interesting and useful as a negative result in science (hypothesis that is proved to be false).

I love your experimental test, it actually makes a good clarity difference between gambler and trader. Some people do view trader as a gambler when he loses lot of money, doesn't sleep over trade and spends more time on the screen looking at the charts more often.

A trader gains a lot of lessons when he loses in many trades, he picks up and learns how to take the next move again, changes strategy again and again that helps out someday. Gambling in real sense has nothing like that, it's purely waste of resources.

In my opinion, being labeled an investor or a gambler isnt that important. What matters is what your goal is and the actual results you achieve.
If you pride yourself on being a trader, not a gambler, but you consistently lose money over a long period and even fall into debt. That's even worse than being a gambler who knows how to control their emotions and stop before their losses pile up.

Dont label yourself as a trader and allow yourself to keep losing money endlessly.

[MArsland]

I have a very clear test that works 100% (at least for me) for making sure am I gambling or trading at the moment.

If I gamble and I lose, I will feel terrible. Because I have lost valuable resources for nothing.
If I trade/invest and I lose, I will feel good. Because I know and feel that the lost trade that I have made using all my resources in the best possible way I was able - that this lost trade is a valuable asset from what I and others can learn much. A lost trade is as interesting and useful as a negative result in science (hypothesis that is proved to be false).



(I have not gambled in markets long time because it is relatively easy to be fully aware for avoiding it some minutes or hours I am behind my trading desk. I have gambled occasionally in everyday situations (for example in traffic) when I lose my awareness - is is difficult to be 24/7 fully aware).

Losing while trading and then feeling good? That's just a self-justification. Whether your trading volume is large or small, losing or making a loss will still create unpleasant conditions, both financially and mentally. If losing makes you happy, why bother implementing trading analysis and strategies?

[gabbie2010]

I have a very clear test that works 100% (at least for me) for making sure am I gambling or trading at the moment.

If I gamble and I lose, I will feel terrible. Because I have lost valuable resources for nothing.
If I trade/invest and I lose, I will feel good. Because I know and feel that the lost trade that I have made using all my resources in the best possible way I was able - that this lost trade is a valuable asset from what I and others can learn much. A lost trade is as interesting and useful as a negative result in science (hypothesis that is proved to be false).



(I have not gambled in markets long time because it is relatively easy to be fully aware for avoiding it some minutes or hours I am behind my trading desk. I have gambled occasionally in everyday situations (for example in traffic) when I lose my awareness - is is difficult to be 24/7 fully aware).

Losing while trading and then feeling good? That's just a self-justification. Whether your trading volume is large or small, losing or making a loss will still create unpleasant conditions, both financially and mentally. If losing makes you happy, why bother implementing trading analysis and strategies?

Its possible the loss incurred by the OP in trading might be the amount the OP can afford to lose and as a trader there is a possibility of reanalyzing the lost trade with the hope of making correction and amendment of course in trading every trader has a working trading strategy or model that prompted the OP to feel unperturbed because there are many trading profitable opportunities ahead unlike gambling where a loss is a loss nothing to recheck or reanalyzed, personally as a trader I always recheck my lossing trades having known that trading patterns is scalable and candlestick patterns do repeat it Price Action consistently which I capitalized for trading.

[justdimin]

Losing while trading and then feeling good? That's just a self-justification. Whether your trading volume is large or small, losing or making a loss will still create unpleasant conditions, both financially and mentally. If losing makes you happy, why bother implementing trading analysis and strategies?

It will never feel good, but at least there is a difference between someone blindly trading based on what others are suggesting and not have any clue why they lost money, versus someone learning technical analysis and making a mistake in calculation and learning from it to do better later on.

Both of those people lost money, so that is understandable that both of them would be unhappy about the result, but one of them will be happier in the future and if you are going to lose, at least lose like that. Because, in learning and in practicing phase, you cannot loss-free but you can trade with small capital and you can minimize your losses. Still, you need always remember that losses are the best teacher to memorize and understand how to handle market volatilities. There are clear practices to trade in non-gambling way, all you need to be conscious by sticking with your plans.

[Somto9Light]

Saying we feel good after losing in a trade is just a delusion because loss is a loss.Jumping in Without any prior analysis and just guessing the market is gambling. When we jump into trades blindly and it hits back, we end up losing money we worked hard for it changes the way we are thinking and then we start chasing losses without having any strategy . The real difference between trading and gambling is having a proper strategy if we do proper market analysis and manage our risks and still trade hits the stoploss then it's just a part of trading . It is better to accept the reality instead of living in delusion and saying it's fun . When we stick to our rules it is called discipline. But gambling can ruin our entire portfolio.

I’ve come to observe that so many people often confuse emotional excitement with profit, but like we already know, the market doesn’t usually reward feelings but discipline. It can be very dangerous for traders to just take up random trades without any real plan and call it fun, because this could only make the losses pile up and that wouldn’t be fun at the end of the day because at this point emotions can easily creep in and influence your decisions. As a good trader, you’re meant to accept losses and consider them to be part of the process, while for a gambler on the other hand, chasing those losses seems very easy. 

[Adams0001]

Trading and gambling are two different things but they can be related in a way when you are trading without any vital knowledge on how it works (that’s literally gambling), is good that you are learning from any win or mistakes in the trading process , but make sure you are not using too much resources especially during the learning phase , save as much by playing it safe with proper risk management.

Many people think they are the same thing because of the unpredictable things, but when you get into them or get the knowledge about it you will surly understand that they are different but when you have not get into it you will just be imagining that they are the same things. When you’re into one of it you should just know that you should invest what you can afford to lose because if you invest what is more then your power you will be in a different condition because you risk what you can’t afford to lose.

Trade is more better then gambling because trading if you understand it you can be getting profit in it gradually but when you says you’re trying to do gambling that will surly make you become addicted and you don’t have sure assurance of getting profit when you stake on the bet but trading can give you more hope on wining when you get the experience.

[Ndabagi01]

The clear distinction to me between gambling and trading is that if you place a bet without prior analysis then you are gambling because you are just merely hoping to make profit rather than having made an informed decision. If you truly took your time to understand and analyze the market then you are trading. If you are just guessing, you are better off in a casino.

You’ve just explained the perfect distinction between trade and gambling. Even when many people argue that they’re both the same, I still think that they’re different in their ways of operating. When you gamble, you don’t have to fear not analyzing the market before taking the bet, you just need to be sure that you are using the right amount of money you can risk in order not to fall short when the bet goes against you.

In gambling, the previous bet you’ve taken doesn’t have anything to do with the subsequent ones you want to take unlike trading that same pattern of winning can be applied over again and you get to win again and again. Losses and profits can be journaled in trading in order to help you perfect your trading strategy overtime, this is what you can’t see in gambling but in trading only. This is a major difference between them that many people down look which is not suppose to be so.

[Webetcoins]

You’ve just explained the perfect distinction between trade and gambling. Even when many people argue that they’re both the same, I still think that they’re different in their ways of operating. When you gamble, you don’t have to fear not analyzing the market before taking the bet, you just need to be sure that you are using the right amount of money you can risk in order not to fall short when the bet goes against you.

In gambling, the previous bet you’ve taken doesn’t have anything to do with the subsequent ones you want to take unlike trading that same pattern of winning can be applied over again and you get to win again and again. Losses and profits can be journaled in trading in order to help you perfect your trading strategy overtime, this is what you can’t see in gambling but in trading only. This is a major difference between them that many people down look which is not suppose to be so.

Yeah, they are not the same thing and some people just assume that the yare. The reality is that they are not the same thing and you have to learn how they are different.

Many people will end up with bad results and not realize that they are just bad traders, and that is why they assume it is the same thing. Just because you are a bad trader or even an unlucky one, doesn't mean that trading is the same as gambling. Gambling guarantees a loss, trading just gives a losing possibility.

[taufik123]

-snip-
Many people will end up with bad results and not realize that they are just bad traders, and that is why they assume it is the same thing. Just because you are a bad trader or even an unlucky one, doesn't mean that trading is the same as gambling. Gambling guarantees a loss, trading just gives a losing possibility.

A bad trader with a very bad mentality and cannot be controlled.
Because some traders always suffer losses because they don't know what to do when the market is really up and when the market is really crashing.

But when compared to a gambling, some types of trading can also be called a gamble if the trader does it with futures trading without thinking or doing analysis,
just guessing up or down, it is the same as gambling which will eventually be determined by luck, if unlucky their money will be lost in futures trading because it is liquidated.
It is no longer a possibility of loss, but it is clearly a loss because it does not have market analysis skills.

[fuguebtc]

You’ve just explained the perfect distinction between trade and gambling. Even when many people argue that they’re both the same, I still think that they’re different in their ways of operating. When you gamble, you don’t have to fear not analyzing the market before taking the bet, you just need to be sure that you are using the right amount of money you can risk in order not to fall short when the bet goes against you.

In gambling, the previous bet you’ve taken doesn’t have anything to do with the subsequent ones you want to take unlike trading that same pattern of winning can be applied over again and you get to win again and again. Losses and profits can be journaled in trading in order to help you perfect your trading strategy overtime, this is what you can’t see in gambling but in trading only. This is a major difference between them that many people down look which is not suppose to be so.

Yeah, they are not the same thing and some people just assume that the yare. The reality is that they are not the same thing and you have to learn how they are different.

Many people will end up with bad results and not realize that they are just bad traders, and that is why they assume it is the same thing. Just because you are a bad trader or even an unlucky one, doesn't mean that trading is the same as gambling. Gambling guarantees a loss, trading just gives a losing possibility.

Gambling and trading are 2 different concept, but it must be acknowledged that they share some similarities. Among them, the most notable similarity is that both operate on probability.

However, the difference is that in trading, we can shift the odds in our favor through knowledge, analysis, and risk management. In gambling, the edge almost always belong to the house


More importantly, it is our behavior that determines whether we are gambling or trading. If we make decisions based on emotion and luck, that is gambling no matter which market we are in.

[MRY]

Yeah, they are not the same thing and some people just assume that the yare. The reality is that they are not the same thing and you have to learn how they are different.

Many people will end up with bad results and not realize that they are just bad traders, and that is why they assume it is the same thing. Just because you are a bad trader or even an unlucky one, doesn't mean that trading is the same as gambling. Gambling guarantees a loss, trading just gives a losing possibility.

Careful consideration of the systematic differences on these two activities shows that there is a repeatable statistical advantage on trading. The players in the market can eliminate risks in the market by regularly reviewing the journals of transactions over a period. Pure betting is never amenable to improvement since it is all random. Making both the same is an indication of misconstruence because of failure in execution.

[Perfectbaby]

Losing while trading and then feeling good? That's just a self-justification. Whether your trading volume is large or small, losing or making a loss will still create unpleasant conditions, both financially and mentally. If losing makes you happy, why bother implementing trading analysis and strategies?

Whenever you are trading and you then do not get angry you should know that such person do not know what he is doing and also do not know how much they have lost because in trading loses is something that is very common where you would lose at all points, and of course no one loses and be happy because. You know, finance and emotion works together and whenever you lose while gambling that automatically disrupt your day and activities because no one can stand see their account running dried and you keep expecting such person to be happy over there losses it doesn't happen that way that is why it is being characterized to always gamble with what we can afford to lose while gambling.

[FanEagle]

If something that is put there as a system to make you lose, that is gambling, if it is just fair and depends on your ability and others, then it is trading. Gambling means there is a house edge, even if you play against others like poker, there is rake, so you may win others money, but then you pay the rake, and the more you gamble, the more rake you pay, so if you ever lose what you earned, then you are going to be in minus because of the rake.

Basically, the system there is designed to make you lose, not at trading. Trading, you may win or lose, anything could happen and you just never know which one it will happen. You hope that you are right, and if you are, then you profit, if not, you lose but nothing else is at play.

[Alpen]

To prevent crypto trading from feeling like gambling, you need a trading system with clear, formalized rules that leaves absolutely no room for second-guessing.