16 Ways Poker is like Trading the Stock Market
16 Ways Poker is Like Trading the Stock Market
I've always enjoyed the game of poker. It's fun (and yes mom, it is gambling, I understand that.) I whole-heartedly agree that investing and gambling are not the same thing at all.
The reason so many have a hard time seeing the difference is because there are numerous similarities. Here are some of the most apparent:
It's excitingIt involves the potential rapid gain or rapid loss of moneyIt's often mysterious to manyYou have to risk money to make moneyOne of the biggest cornerstones for longevity and profitability in the game is not losing moneyYou can make a career out of itYou really can make a lot of money doing it (that's the allure, right?)Fortunes can change quicklyMany people are interested in itYou make the choices of when and why to put money inYou've got to follow some sort of plan and systemFolding your hand (and using stops, or simply exiting a bad trade) is not a bad thing at all.You do not have to play every hand or be in every tradePlay only the bestBe patient!!!Be disciplined
I love poker, I really do. It has a thrill that trading doesn't. That turn card and river card are just such an unknown. In the markets, it's either going up down or sideways. That fifth card, though? No one ever knows. That's why it's gambling at the end of the day. You can make all the right plays and still lose. One of my rules in Poker is 'Don't go all in unless you are in a very strong position.â€ If it's a cash game 'Don't go all in unless you've already pulled off profits and you'll win regardless, or there is a zero chance you lose the hand.â€
In poker and trading I play pretty 'tight'. I'm all about risk mitigation because I know over a long enough time line, as long as I have money to play with, I can hit a big winner; it's just math. If you win more money than you lose, you'll be profitable.
Until next time traders, thanks for reading! YOU ROCK!