How to know if you’re addicted to gambling and stock market
20 August 2008

Here are the signs and symptoms I've compiled. Some are original and based on experience.
- It becomes a problem with that first loss, and you can't stop putting in new money for new losses.
- It becomes a problem if you're lying to your loved ones about not going to the casino or not trading the stock market anymore.
- It is gambling when you "need to trade everyday" until your equity is all but wiped out or stuck
- Did you ever borrow to finance your gambling/trading, and lost control and failed to return the money?
- Have you ever committed, or considered committing, an illegal act to finance gambling?
- Have you ever sold anything to finance gambling and or stock trading?
- Justifying for a false sense of reality or justification for making the next trade. No matter how large the loss, the addicted trader always believes in the success of the next trade. "I will not stop because I know the next trade is the right one", but in reality constantly dwindling equity.
- Overtrading, using T+3 trading to pay only for the "loss" incurred without putting up principal money.
- Cursing and blaming the broker/brokerage for upholding the financial security measures to avoid drastic losses.
- Feel compelled to keep upping your bets
- Did you often gamble until your last dollar is gone?
- Did you ever gamble longer than you had planned?
- Feel remorse after gambling
- After a win did you have a strong urge to return and win more?
- Gamble with money you need to pay bills
- Were you reluctant to use "gambling/trading money" for normal expenditures?
- Did gambling make you careless of the welfare of yourself or your family?
- Did gambling cause you to have difficulty sleeping?
Another article catered specifically to the trader:
Note any negative changes in personal relationships. This includes lying and problems occurring on weekends, vacations and family visits that interfere with any activity related to buying and selling in financial markets. Watch for large capital risk-taking in the stock market. Typically, a day trader works with a margin, money borrowed from the broker. This gives the trader more capital for trading. One signal of addiction occurs when the trader continues to lose but invests more of the broker's money, disregarding any financial safe houses. See if the day trader plays the market like a slot machine. Constant buying and selling while using many too ls. Charts, graphs, level 2 quotes, stock news, streaming quotes and momentum remain good sources for executing a trade, but the appeal of the different colors and constant change stimulates the addiction. Notice the highs and lows of the day trader's behavior over trades. Like all gamblers, there's a fluctuation in emotions. A quick money making trade brings the emotional level up while a loss can depress, so the trader constantly seeks the high. Observe a preoccupation with the financial markets to the point of obsession. Life for this person revolves around day trading and the pursuit of the next trade. The addicted person lives in isolation at the computer while avoiding other daily matters. Monitor borrowing activities relating to family, friends, money from a credit card and weekly paychecks. A problem trader, like a casino gambler, has an addiction that overrides common sense. People with gambling problems typically go through four phases, progressing from recreational gambling to problem gambling and finally to gambling addiction. Each phase can last from months to years. When you’re feeling the urge to gamble, the following strategies can help:
The “four phases” of problem gambling and gambling addiction
Dealing with gambling cravings
Sources:
http://www.helpguide.org/mental/gambling_addiction.htm
http://www.ehow.com/how_2108279_know-day-trader-has-gambling.html
http://findarticles.com/p/articles/mi_m1355/is_25_97/ai_62590956/pg_1
http://www.ehow.com/how_2108279_know-day-trader-has-gambling.html
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