These days, people are busier than ever before. With the addition of technology into the world, time has never had such a high value. If it was a stock, it’s value would be through the roof! Because of this, commodities like WTI Crude Oil and currency pairs such as EUR/USD are gaining market depth at an unforeseen rate. This is hardly likely to change in future, as we live in a technological world – and that’s going to stay with us forever.
An unfortunate consequence of the technological world we live in is that young people do not have patience anymore – this is especially through for millennium babies such as myself. The old mantra of “the tortoise beats the hare” has become obsolete. People do not care for returns over a long-term period anymore – they want quick gains, not gains they have to wait months, or even years, for. This means that the risks which are often associated with volatility are often overlooked – people are blinded by the lure of quick rewards.
This is the very reason why the gambling industry is hotter than it’s ever been before – people like to feel the rush which comes with throwing their money into a gamble. This is only compounded by the growing general consensus that the only way to make gains is through instant gratification – any money made long-term just isn’t worth it any more.
This is obviously great for companies such as CMC Markets, as trading has become less about technical analysis and more about the idea of having a quick gamble – “if it goes well for me, I’m going to make a quick buck.” They are the big winners from this modernisation of trading – how else do you think their owner has a net worth of $1.3 billion?
However, we must think about the losers from all of this – the traditional “traders”. Trading is slowly becoming more of a gambling business, and to stop this happening, society needs a reeducation.
Perhaps a daily recital of “the tortoise beats the hare” would be good.