so spread betting in the uk is classed as gambling so no worries about the tax man. so is forex not classed as the same??????
Not really because spread betting is set up like a bookies. First, they pay betting tax on your trade (same as if you were betting on the geegees) - that's hidden in the spread - second they are the counterparty laying your bet. Of course, if you spreadbet forex it's the same thing, but if you're in the market via an ECN then you are entering a genuine financial transaction in the market and it's taxed as such. In reality spread betting is taking advantage of a loophole but when it's been looked at (most recently by the House of Lords), they concluded HMRC would lose more from the lack of betting tax than they would gain from CGT from the comparatively small number of long term winners.
If you have a system that's statistically backed and can control your emotions, being a pro trader is more like being a casino: You WILL make money in the long-run, even if a few trades (not "gambles") in every dozen
Ah got it now thanks
Unless you're talking about poker, then there's no way you make money in the long term in a casino. Unless you're the owner. That's what the house edge is for... It can't be beat.
Please reread what I wrote.
Once someone is involved in the financial markets, there is a learning curve, which based on the social proofing discussion above may seem like it is gambling. This may or may not be true based on the individual. How the person approaches the market will determine whether she/he becomes a successful trader or remains a perpetual gambler in the financial markets. The following two traits (among many) are easily overlooked but contribute to gambling tendencies in traders.
We can say there motives are same to earn profits, but the main thing which makes major differences are as follows :-most traders are gamblers ...........that's why they lose.....a good trader is the casino....... like an excellent post earlier stated.......just nudge the odds a few points onto your side and wait for probability/ increasing sample size to do the rest