The Casino Mentality In Trading

Any quick drive through Goa Casino makes it pretty clear who is making in the money – the Casinos!
Why do gamblers keep going back despite losing most of the time?

• Big hope of making good money in extreme short term.
• No Plan, Not understanding probabilities
• Not knowing when to Stop gambling
• Gambling based on Gut feel or emotions

These symptoms may sound familiar to loss making traders who have lost money in the stock market.
In gambling there are really only two sides to choose to be on, either you are a gambler or you are the house. The gamblers have the long term odds stacked against them. The more they gamble, the more the odds are that they will inevitably lose. The casino has stacked the odds on their side over the  long haul. The more the gambler keeps gambling, the more the odds shift in favor of the casino operator. The more they gamble the greater the chance the gambler will leave empty-handed.
Profitable traders operate like casinos, with the odds in their favor over the long term. They have learned to trade with historically, back-tested trading systems that put the odds on their side. Much like casino operators, they h

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