Photo by Anna Nekrashevich
In finance, the allure of day trading often lures individuals seeking quick profits and the promise of financial freedom. However, recent studies and financial experts have shed light on the stark reality behind day trading: The overwhelming majority of day traders lose money.
Despite this evidence, charlatans continue to peddle day trading strategies, targeting unsuspecting individuals with the false hope of easy wealth.
Day trading involves rapidly buying and selling securities, typically within a single day, to capitalize on short-term price fluctuations. If you’re exploring the world of day trading, it’s likely because you’re enticed by the possibility of generating fast profits in the stock market, Nerd Wallet reported.
According to a CNBC report published in November 2020, 97 percent of day traders lose money.
In financial literature, the remaining 10 percent, referred to as “10 percenters,” are characterized as individuals who consistently outperform the market and achieve extraordinary success in investing. These elite investors are often heralded. Yet long-term investing has been proven to work.
Evidence shows the reality is far from the glamorous image portrayed by the 10 percenters.
Interestingly, the terms 5 percent and 10 percent are used in Islam-inspired the Five-Percent Nation.
According to Oxford Reference, the “remaining 10 percent, the ‘slavemakers’ and ‘bloodsuckers’ who rule over the masses through the promotion of supernaturalist theologies. As a deeply entrenched presence in the youth cultures of New York, the Five Percenters’ unique ideology, vocabulary, and modes of discourse have pervaded popular culture and become a prominent aspect of the hip-hop movement.”
Financial experts emphasize the importance of fundamental analysis, diversification, and risk management in constructing a robust investment portfolio geared toward long-term growth. Rather than succumbing to the allure of day trading’s quick profits, investors are encouraged to focus on fundamental principles and sound investment strategies that align with their financial goals.
Photo by Anna Nekrashevich: https://www.pexels.com/photo/marketing-businessman-person-hands-6801872/
