share trading gambling or not?

Answer 1

Gambling means betting in thesaurus of Microsoft word. In share market too, we bet on a particular share getting appreciatiation.

The reasons for a particular share price to go up or down is unlimited.

There are different opinions about investment in share market. Many say that it is based on fundamentals of economy, of the company ,its earning potential etc etc.Many others say that it is pure gambling.

Share price movements are affected by
-demand supply of the particular share
-news about the company both positive and negative
-fundamentals of the company
-economy of the nation
-projections about the industry
-world events
-promoters health, demise
-changes in financial interest rates
-most important of all, perception of the investors about the company
-budget of the country
-overall movement of market, bullish or bearish.
-many more unexplainable reasons
- opinions of research analysts etc etc.

If this kind of investment, where there are hundreds of reasons for which the price movements may go up or down, then this kind of investment well qualifies tobe classified as GAMBLING OR BETTING.

Answer 2

Nice try! No, it is not gambling. Consequently you must report gains and losses on your tax return.

There is nothing specific in the tax legislation to define gambling. Instead it has been defined by the courts over many years. It is not as broad as one may think. The owner of a private club which held high-money card games, in which he participated, was held not to be gambling but engaging in a trade, just as if he had charged table fees or sold someone a drink.

My dad always said that investing was like a horse race. The only difference is that you get to choose your own starting line and your own finishing post. Consequently, you can influence your own outcome before the race is over.

Answer 3

I believe share trading is a skill that can be learned. To do it efficiently you have to be able to read and understand a Company's financial statement and then be able to asess the share trends and know when to get in and out.

The hardest thing is controlling your emotions and not getting too greedy or fearful when trading.

There's heaps of sites out there with trading information to learn out there and i would also recomend once you've studied these for a while that you paper trade for a good 6 months.

Cheers, ToNy!
"Success.Trail"

Answer 4

Sharing is a skill that should be done very carefully. You should be just smart enough to watch what is future of your share in future. At first, I too thought as you are thinking now. But I changed my feeling after I learnt from my uncle.

Answer 5

It is a legal GAMBLING!