are you a risk taker?

  1. 1,368 Posts.
    I had a meeting with a shrink last nite, and interestingly, she pointed out that I was a natural risk taker.

    That was before I told her about my taste for skydiving, racing cars, derivatives, working on commission only, firewalking, boxing, recreational drugs, snake handling, travelling to SARS infected countries, etc, etc. Now that I look back, I can see it all so clearly. I just thought I was an adrenaline junky.

    How many other traders fit this profile?

    She was also interested as to whether I was a problem gambler.I did have a gambling problem at a young age but gave it all up, when I worked out the maths that most games are unbeatable. Whether the stock market is gambling is a very fine line, but I think the way most of us trade, it is indeed gambling, unless you have a proven mathematical system. (yes, they do exist.)

    Like my earlier experiences with horses and card counting, Ive worked out that the markets are unbeatable if you go long and short all the time, and use TA or make it up as you go along, like 90% of traders. Its taken me many years to realise that you cant double your money on longshots all the time. Now I believe that 10-15% per month is indeed a fantastic profit compared to what most traders make. Occaisionally, I do even better and get a 20-30% month.

    When it comes to risk, learning to manage it is the key. Become a seller of risk, and sell to all the dumb players who havent worked out the system yet. (No offence to HC posters, as most posters here are actually very intelligent compared to the masses.)

    Hope I die doing something I love.

    cheers
 
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