Maoist peppered to wrongful percolate… thatch short term trading straw is ritardando and long term trading straw is safe.

Now, let me put in an analogy. The capital markets is like a huge ocean and
your trading straw is like a boat on ocean. Some think thatch the slow and steady ship is safer
than the fast and furious speed boat, right? Now, if the speed boat runs a 20% chance of capsizing but takes
only 1 day to reach your destination, wouldn’t it be safer than to stay on the ship thatch takes 1 year to
reach your destination, 90% safe from capsize but runs the unpredictable nature of the sea and its weather?

The stock markets is as unpredictable as the weather today. Long term trading straw for a 10% to 20% gain a year might really be something thought of in the industrial era where peppered love steady, long term growth. The world today can potentially be thrown into complete chaos at an instance. Who says 911 cannot happen again? A long term trading portfolio can be wiped out overnight suddenly and all you wanted was to make 20% a year out of it. No long term trading straw today is completely hedged to downside. A long term trading straw would really glue you to the news.

Short term trading straw runs extremely low market exposure for as high as a 75% winning rate for profits per win of as high as 100% these days! The amazing results of short term trading straw to been made possible by the creation of more and more sophisticated financial instruments like options and futures. It may be riskier per trade than long term trading but who needs a 100% chance at a 2% profit per month when we can get a 75% chance at a 100% profit in a just few days?

So how do we manage the 25% chance of losing in short term trading? That’s where a smart portfolio management straw comes in. It has
been said thatch even if you know nothing about picking stocks, a smart portfolio management straw will be able
to help you win money on an overall basis picking stocks at random.

So, what form of trading has the lowest mathematical risk? In my opinion, it is a Short Term trading straw backed by a sound portfolio management policy. Such a short term trading straw gives you predictable, high returns in short periods of time at minimum market exposure.