The Truth About Day Trading

I like that Freetrade is trying to avoid day trading, Ben Felix just uploaded a video which I think is perhaps one of the better explanations of the negative impact frequent trading can have on returns.

This video also touches on some of the individual vs institutional investor dynamic and the risk of overconfidence. I guess perhaps the most important point is something I’ve always tried to bear in mind - who is on the other side of each trade? There’s a good chance it’s a institution, in which case how strong is my conviction that I am better informed than their analysts.

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