This view is held by many, but is misguided.
To be considered a great trader, one does not have to make money in both uptrends & downtrends.
One must simply know what they are good at and optimize around it.
To be considered a great trader, one does not have to make money in both uptrends & downtrends.
One must simply know what they are good at and optimize around it.
This also ignores the fact that, generally, major markets are bullish over the long run.
Long-only funds exist for a reason.
To assume that one must make money during downtrends as well is naive and may be apt for a directional gambler, but not necessarily a trader.
Long-only funds exist for a reason.
To assume that one must make money during downtrends as well is naive and may be apt for a directional gambler, but not necessarily a trader.
And before anyone asks:
A long-only fund does not mean that they are *always* in long positions on various assets.
They can always move to risk free assets to reduce exposure to the market, but they simply don't take short positions.
A long-only fund does not mean that they are *always* in long positions on various assets.
They can always move to risk free assets to reduce exposure to the market, but they simply don't take short positions.
