Its Over, page-3537

This thread has consistently cautioned and warned market participants of the danger of being in this game if one is unable to withstand potential losses. It is too easy to be blindsided in the current market due to bipolarity and uncertainties - the Fed put is no panacea and in fact a dangerous precedent to entice more market participants to take on risks to prop up the bubble.

ASIC is seemingly very concerned with this trend- like I said repeatedly here, gains from the stock market is no substitute for income from a loss job.

You can't play with money you can't afford to lose.
ASIC warns retail investors are at risk in volatile markets

William McInnes AFR

The Australian Securities & Investments Commission has warned retail investors are at risk in volatile markets as they engage in shot term trading strategies and unsuccessfully attempt to time price trends.

The commission noted a "concerning" increase in short-term and day trading activity, warning the risk of significant losses was a regular challenge even for market professionals.

"Retail investors chasing quick profits by playing the market over the short term have traditionally performed poorly – in good times and bad - even in relatively stable, less volatile market conditions," ASIC said on Wednesday morning.

ASIC has warned retail investors are at risk in the volatile markets. Arsineh Houspian
Its analysis found few pursuing quick windfalls were actually successful.

"During the focus period, on more than two thirds of the days on which retail investors were net buyers, their share prices declined the following day," ASIC said.

"On days where retail investors were net sellers, their share prices more likely increased the next day."

ASIC said there was a sharp increase in the number of retail investors entering the market and an increase in the number of reactivated dormant accounts.

"The higher probability and impact of unpredictable news and events in offshore markets overnight only magnifies the danger," it said.

"ASIC is therefore particularly concerned by the significant increase in retail investors’ trading in complex, often high-risk investment products. These include highly-geared exchange traded products, but also Contracts For Difference (CFDs).

"Trading activity in CFDs has increased significantly during this period of heightened volatility. Leverage inherent in CFDs magnifies investment exposure and sensitivity to market volatility, so retail clients should be particularly cautious about investing in leveraged products at this time."

It said in the week of March 16 to 22, retail clients net losses from trading CFDs were $234 million from a sample of 12 CFD providers.