Sport Betting and Trading Financial Markets
By popular opinion, sports betting and trading finances have a lot in common in the sense that they both believe they can predict the future by investing or staking in a statistically favorable position. The debate about which one is easier to undertake will wage on beyond this article. Here I try to compare the two to provide some knowledge of what they both are.
Skills Levels you need in sports betting and financial markets
When you are engaged in trading, the amount of profit you make is based on how skillful you are, your abilities, and how much you understand how the foreign exchange market works. To become a master-trader, it takes patience. As you gain more experience, you will gain more profit.
Whereas as a punter, the amount of money earned is independent of your skills and knowledge. There is no mastery involved in sports betting. The profit you earn is dependent on a lot of variables that are out of your control. Factors that can affect the outcome of your prediction include injury, head to head record and morale of the teams you selected.
Risk Management or Loss Prevention in sports betting and financial markets
You can always exit your trades when the markets seem to be going bad for you. This is one of the ways you can prevent yourself from recording huge deficits or blowing your account. Likewise, you can take a new trade when it appears the market will go in your favor; that is, according to your analysis.
In sports betting, however, there is no option for you to back out of a placed wager. As long the game has started, it is final, you will have to wait until the bet goes in your favor or not. In the event that you are noticing that you are about to record a loss, depending on the regulations of your bookmaker, there is a high chance that you cannot pull your money from the bet.
Timing in sports betting versus financial markets
Trading the financial market is not time-bound. Sports betting and trading also share a difference in this case. Taking and exiting trades are at your disposal. Trading intervals don’t have to be regular, you can leave your trades to run for a short while (maybe ten minutes scalping), or you can hold the trade for a whole day or a week long.
Contrary to financial markets trading, a bet placed had a time frame. For instance, the duration of a basketball game is 2 hours 15 minutes. So, if you place a bet on a basketball game, you will have to wait for that duration before you get to know the outcome of your wager. How the game ends determines if you will profit or lose.
This article has successfully laid out the facts about sports betting and trading, and what affects them. If you want to make quick cash, then online sports betting should be your thing. But if you are seeking a long term investment, you should consider trading the financial markets, but you need to be skillful to do that. There isn't an easier road here; it all depends on your choice.