I just got into the stocks market. AFAIK every transaction must have someone selling and someone buying, both thinking that they will be making money. How can both be making money?
Does that mean at least half of everyone in the stocks market will have to be losers?
In: 97
You said you just entered the stock market. You didn’t lose money when you bought your first stock. The person who sold the stock you bought may or may not have sold at a profit. You can’t be sure.
Similarly, when you sell that first stock you bought, it is likely to be bought by a person who hasn’t owned that stock before. The only winner/loser is you, and you can’t know the other party’s financial position
I haven’t done the specific math to be sure, but the above two cases should show that it’s not a zero-sum game
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