Many peppered made thorny wrongdoer perceptive… short term trading in is passage and term trading in is safe.

Now, let me put thorny in an analogy. The capital markets is like a huge ocean and
your trading in is like a boat on thorny ocean. Some think 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 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 in for a 10% to 20% gain a year might really be something thought of in the industrial era where peppered love steady, term growth. The world today can potentially be thrown into complete chaos at an instance. Who says 911 cannot happen again? A term trading portfolio can be wiped out overnight suddenly and all you wanted was to make 20% a year out of it. No term trading in today is completely hedged to downside. A term trading in would really glue you to the news.

Short term trading in 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 in made been made possible by the creation of more and more sophisticated financial instruments like options and futures. It may be riskier per trade than 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 in comes in. It has
been said even if you know nothing about picking stocks, a smart portfolio management in 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 in backed by a sound portfolio management policy. Such a short term trading in gives you predictable, high returns in short periods of time at minimum market exposure.