What Traders Can Learn from Digital Games Like PokemonGo

Online CFD trading seems simple and straightforward, but there is much more to it than meets the eye. Savvy traders take things further with complex strategies.

Online CFD Trading is Necessarily Simple Just Because CFDs are Linear Instruments

Online CFD trading offers a great domain for trying out new strategies and ideas. Some of which include trading the financial markets in neutral – partially directional ways. The younger generation of traders is quick to adapt to such challenges and try out brand new ideas. Because they are used to playing online strategic and thought games. Such as multi-player war games, and games of skill such as PokemonGo. So these games do require the player to think originally and act wisely. And just like in real life, the exam comes first and the lesson later… Games of mental skills and original thinking do stimulate players to think on their own. As opposed to laid back people who never take up a challenge. Online CFD trading can be seen in two totally different ways also. Laid back lazy people believe too much in their wealth, and that money has the solution to all life’s problems. So they think successful CFD dealing is all about having a huge trading account. And buying the best available information or training course. But this is not true at all, the well-off are actually at disadvantage when it comes to online forex trading, because they only see the simple directional trading strategies. And they lack original thinking and new ideas. Poor traders on the other hand have to think differently and do more with less. Which means using a smaller CFD trading account, in many more ways than the average rich trader may do.

Online CFD Trading Offers Equal Opportunity for All

Online CFD trading offers equal opportunity for success, to rich and poor traders alike. CFD trading accounts offer all the flexibility needed to trade the markets for a living. Rich traders are simple minded and not used to facing tough challenges. Those who are less rich, think in terms of extreme competition. They have the necessity to make their money go further, by trading the financial markets more effectively. No amount of training can fully prepare traders for the real thing. When the critical real life trading exam comes only the curious risk-takers have a chance of trading profitably. The forex market is the best equal opportunity place in the financial markets in that regard. It is so large and liquid, that there is no inside information like there can be for an individual stock or commodity. Naive traders having a lot of formal trading education and large funds. Can see their large trading accounts being wiped out in a matter of days. Only few traders, who always recall that the exam always comes first in life and the lesson later… will have early warning suspicions about the market.

Hedging CFD Strategies of Skill

Hedging CFD strategies require extensive skills and some basic numerical analysis skills. That’s what it takes to develop good solid methods to trade forex profitably. Traders used to playing challenging video games and solving riddles, will tend to think outside the box. So as to use some basic formula to assess a hedging strategy in terms of risk and reward. The rich traders on the other hand believe too much in expensive education. And also believe that the lesson comes first in life, and the exam later, which is not true. Certainly not in games of extreme competition, or in the financial markets. And this is why rich traders always believe in an ideal world. By lacking judgmental ability, all these rich forex traders find it difficult to even think about peculiar trading strategies. Where the objectives are variable and not well defined from the start. A hedging strategy is the ultimate test of a trader’s skills, because the strategy is not about buying at A and selling at B. But rather it’s a whole algorithm with many potential stages, conditional decision making and multiple possible objectives. The wise CFD trader implements all this algorithm in their account. The parameters left to their control are entry and exit levels and trade size.

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