In this episode of 2 Traders Podcast, Walter talks about one the most common questions for traders and non-traders alike: Is trading the same thing as gambling?

This episode revolves around these ideas: is trading the same as gambling?? What is sound risk management? And when does over-trading become a problem?

Darren agrees that while — essentially, in the context of the word — trading is gambling, it might also be just the perception of trading. There’s a bit more to it than that…

If trading is gambling, is there a way to “gamble” for consistent profits over the long haul?

Also, the discussion wanders into betting on horses and playing the slot machines, and how to identify a professional trader from a gambler.

http://media.blubrry.com/2traders/content.blubrry.com/2traders/2Traders_-_EP35_Trading_as_Gambling.mp3

Download (Duration: 19:37 / 22.4 MB)

In this episode:

00:35 – is trading gambling?

01:32 – gambling idea

02:29 – uncertain outcome

04:26 – why aren’t the banks doing it?

06:04 – trading perception

07:14 – less reckless

09:26 – same mindset

10:17 – just lucky

12:10 – breadth of knowledge

13:26 – try new things

15:27 – different approach

16:46 – same endeavor

18:07 – live markets

Tweetables:

If trading is gambling, is there a way to make it work for the long haul? [Click To Tweet].

Having a strong belief about the market will help you tell what you are doing. [Click To Tweet].

Don’t narrow down your focus in one trade setup. Broaden your system and take time to look at different avenues. [Click To Tweet].

Download The Full Episode 35 Transcript Here

Walter: They don’t sit down thinking “I’m going to take a trade today”. But they sit down and they think: “Is there a trade today? Is there something that looks so good that I have to take it?”

Announcer: Two traders, Darren and Walter, pull back the curtain on profitable trading systems, consistent money management, and profitable psychological triggers. Welcome to the Two Traders Podcast.

Walter: Welcome to the Two Traders Podcast. Walter here, and Darren is on the line. Today, we’re going to talk about gambling, Darren. What does that mean to you?

Darren: Is trading gambling? For me, it’s certainly is a hundred percent gambling. If you’ll look at a dictionary of the definition of gambling, it’s risking money on an event with an uncertain outcome.

I believe that’s what we do when we’re trading. I also think that it’s probably a good idea to have a mindset: there is gambling as well. Because, as soon as you start believing that you’ve got some way of beating in the m...