Sunday, December 18, 2011

Pros and cons

For quite a while I've been sports trading. Sports trading can be done in a number of ways, but the one I've been mostly involved in is Lay The Draw. 


Lately LTD has been trickier due to lack of liquidity. That was the main reason I moved to Forex. 


I thought I'd do a list with pros and cons for both. 


LTD


PROS

  1. Simple rules (everybody knows soccer, right)
  2. Availability (games are played when you are free) 
  3. Simple interface (Betfair and Betdaq are easy to bet on)
  4. Returns
CONS
  1. Liquidity (you can't always trade when you want to)
  2. Chosing games (not all games are worth trading)
  3. Availability (you must trade when the games are played)

FOREX

PROS
  1. Availability (Anytime but the weekends)
  2. Liquidity (unless you are trading gazillion dollars, you'll always get matched)
  3. Returns (same with sports, that's why we do it)
CONS
  1. Steeper learning curve (it is a trickier thing to learn, since one probably does not naturally have the financial market as an interest)

Well, that's about it. Once you get in to Forex, I can't see more drawbacks to it. 


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