I would like to ask 3 questions regarding trading and investing:
- How Is short term trading defined? and with Forex, is forex trading always short term? Meaning can't be in it for the long haul (holding on the security for a long time before selling) with forex and if so why is it?
- For traders that trade both equities and currencies for the short term, how do they really make money given the transaction costs (brokerage fees etc) they've got to incur every time they open and close a position?Don't these costs erode profitability?
- Given these questions, wouldn't it then make sense and profitable to invest for the long term rather than the short term?