Well trading and investing are totally different games. One is irrational (trading) and one is rational (investing)... and the problem happens when you try to trade rationally and invest irrationally.
Whats the solution ? Simple and sweet. Use left brain to invest and right to trade. You have both so why not use both ? :-)
I am both trader and investor and once you know which is which its pretty simple (not easy). You don’t use logic for trading, just follow the market and you don’t follow the market when investing, just use logic.
You make it sound so easy!
Hahah. I think the problem for me is when both sides start fighting over a coin.
Trader: "Nice! Look at that sweet profit. Sell that thing and let's move on to the next pump."
Investor: "Are you kidding me? Would you have sold bitcoin at $1? What kind of idiot are you? This is clearly a long-term hold."
Trader: "Stop bringing emotion into a logical discussion. Don't get married to a coin. Buy, sell, move on."
Investor: "Why celebrate a small gain when you could have a life-changing increase with just a little insight, patience, and long-term vision?"
Trader: "I can't even talk to you."
Investor: "You're just an idiot."
(bar fight ensues as the market passes them both by, laughing)
@lukestokes :-)
Well, at the cost of repeating, I was trying to sound “Simple” not “Easy” ! They both have no relationship...
The key is not to let left (investor) and right (trader) talk to each other. This is the financial meditation :-)
One simple way (to start) is to keep the two (trading and investment) instruments different. For example I invest in stocks and trade in bitcoin. [Fact: I invest in bitcoin also, but just as an example]. So you cut out the news for bitcoin and cut out market info for stocks. Don’t try to find cause-effect relationships in bitcoin (news) and don’t try to change cause-effect relationship for stocks with market movement [unless cause change don’t let the effect change]
They both are Simple in the end. Its [Chaos] Trading and [Value] Investing :-)
I don't know where from you got this. But this is hilarious.