Everyday trillions of dollars flow from trader to trader, from market to market. Many traders are just happy to dip their bucket in and take a share each day for them.
But where does the money flow?
1) Every day options lose time value?
2) Options sellers blow up
3) Shorts cover for a loss
4) Trends take place
5) People lose
6) People win,
but who walks away with the pocket full of cash?
Few answers are following:
a) Capital flows from those who fight trends to those who follow them.
b) In the long term money flows to those who manage risk and are able to hold on to their profits from those who don’t manage risk.
This is a wonderful video which once you go through completely will explain the detailed answer of the question mentioned in the beginning and then it will also explain step-by-step about how to make big money from the stock market.