Two years ago, I entered the world of trading with dreams of quick riches and a life filled with luxury — sparkling Lamborghinis, exotic vacations and financial freedom. Influenced by social media influencers showcasing their glamorous lifestyles, I was convinced that trading was the ticket to my dreams. “Get rich quick,” they promised, flaunting their rented sports cars and lavish homes, and I fell for it.

But the reality hit hard. As I dove into the Futures and Options (F&O) market, I quickly learned that the glittering facade belied a ruthless game. “The market is a device for transferring money from the impatient to the patient,” said Warren Buffett. But in my case, it felt like the money was flowing from the ill-equipped to the well-equipped.

I found myself among the 93 per cent of individual traders losing money, staring at my screen as my hard-earned savings dwindled. Each trade felt like a battle against overwhelming odds, where the rules favoured seasoned players over hopeful individuals like me. Without access to sophisticated systems or reliable Internet, I was fighting a losing battle against institutional traders who wielded significant advantages. Their vast resources— advanced analytics, direct market access and comprehensive research — made it nearly impossible for someone like me to compete effectively.

Frustration grew as I encountered countless technical issues with my brokerage. Servers crashing at crucial moments left me feeling powerless, while the big players seemed to operate without a hitch.

Social media painted a picture of success that was hard to ignore. I saw peers flaunting their profits, sharing screenshots of their trades, and living what seemed like the dream life. The pressure to keep up was overwhelming. I kept thinking, “If they can do it, why can’t I?” This constant comparison only deepened my sense of inadequacy and urgency to recover my losses.

Yet, I was caught in a trap. The more I chased the dream, the deeper I sank. I realised that this was a game of big money — a team sport where individuals like me were often outmatched. The market rewards those with the resources to analyse and adapt quickly, leaving many retail traders vulnerable to manipulation and sudden shifts.

As Jesse Livermore wisely noted, “The market is designed to fool most of the people, most of the time.” I was one of those people, caught in the illusion of easy money, unaware of the steep learning curve ahead.

Valuable lessons

Despite the heavy losses and emotional toll, I’ve learned invaluable lessons. Many traders are knowledgeable and skilled, yet they still face an uphill battle due to systemic disadvantages. It’s not merely a matter of understanding; it’s about having the edge that comes with resources, technology and timely information.

“In three words I can sum up everything I’ve learned about life: it goes on,” said Robert Frost. Each setback teaches resilience, and every misstep is a step toward understanding the market better.

This article was received from a reader in response to our Big Story - ‘The Great Indian Slaughterhouse’ , published in bl.portfolio edition dated September 29, 2024. This has been published with the consent of the author.