Is speculation gambling?
No. Although both speculation and gambling share similar characteristics such as the potential for quick and substantial profits and or losses. Speculation and gambling are different in many ways. A gambler playing roulette, slots, or craps is risking capital on nothing more than a game of chance, where the odds are always stacked in favor of the house or casino. A speculator, who has developed a discipline for identifying high probability opportunities along with rules for managing and protecting his capital, is no longer relying on lady luck to produce his profits. His ability to successfully apply his craft is the determining factor in his success. In addition, speculators are a necessary component of the economy, they create liquidity in a whole host of asset classes and at the same time allow commodity growers, producers, businesses, money managers, and others to hedge their risk by offloading it onto speculators. For bearing the brunt of the risk the speculator stands to profit h
