When is day trading considered trading and when is it considered gambling?
If I study the charts and I figure out that a regular pattern occurs which produces profits, and I buy that token based on that pattern, and then sell it a short while later (whether it be 2 minutes later as it reaches my profit target or after 2 days when it reaches my intended profit amount), is that considered speculation and gambling or is it considered investing?
Investing is generally thought of as a long term commitment but with scalping and day trading strategies, traders are in and out several times a day.
So under what situations can a person day trade, making several trades a day?
When is trading legitimate and not gambling?
Trading will be gambling when the counterparties involved are not taking ownership and are both taking opposing views on the market movement, resulting in one party paying the other due to holding a losing position.
Isn’t every form of investment based on uncertain outcomes?
The way I described regarding trading Crypto using technical analysis on charts to profit from a token or coin, would this be gambling or would it be trading?
How about crypto spot trading with scalping as it involves ownership of particular coins which is in my possession were I’m selling of when market up. JK