One of my friends does day trading of currency in the forex market. He was showing me some of the stuff he does. Have any of you tried this ? If so did it work for you?
I know it's like gambling since no one can predict the future but the more I read it seems that people
can make some extra money at it.
Other than that I have a busy day which is good, it's cold and gray here again today.
I had a cousin, who is extremely smart, who made a boat-load of money doing day-trading. He currently lives with his mother.
ReplyDeleteI'd avoid it.
I do not gamble as a rule.
ReplyDeleteWen I have extra FRN's, I purchase PM's. Has had remarkable return rates over the past years.
Bob
III
you are right on both counts. one can make money and it is like gambling.
ReplyDeletebut for some one to make money some one will lose money. the great thing about forex is the speed at which you can lose sh!tloads of money. the beauty of leveraging.
like swimming in the ocean ....the shark gets most of the meal and the remora fish tag along trying to get the scraps.
I am not against speculation (although I think it has been institutionally corrupted by the big players to the point of criminal) ....the intent of these markets (forex and commodities) is to provide an insurance mechanism for people who deal in those commodities or monies.
example: airlines buying fuel or a large baker buying wheat. In the case of the baker ...he may be buying wheat six months out and has no idea what the price would otherwise be and he may be paying in a currency which he has no idea will be at the point it is when he signs the contract. He will offset his risk with purchases of calls or puts. The goal here is not to make money but to protect his price point. The fee to do the transaction is the "insurance policy premium" The individual in this case will not actual make any money on the trades when it is just offsetting his risk.
never trade with money you cann't afford to lose.
considering that the whole market is being driven by what ben bernanke had for breakfast there is no safe and sane trading left. i want nothing to do with any of this until real world inputs run the show again
ReplyDeleteWhen I was in Spain, I'd watch the exchange rate.
ReplyDeleteWhen the Dollar was higher, I'd buy extra Pesetas; and when it dropped low enough- I'd go gambling or sell them on town.