Speculator

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Definition of 'Speculator'

A speculator is a person who trades financial instruments in the hope of making a profit. They do not necessarily have an underlying interest in the asset they are trading, and they may be willing to take on a high degree of risk in order to make a profit.

Speculation can be a risky activity, as it is possible to lose money as well as make money. However, it can also be a profitable activity, and there are many successful speculators in the financial markets.

There are a number of different types of speculators. Some of the most common types include:

* Day traders: Day traders buy and sell financial instruments within the same day, in the hope of making a profit from small price movements.
* Swing traders: Swing traders hold on to financial instruments for longer periods of time, typically for a few days or weeks, in the hope of making a profit from larger price movements.
* Position traders: Position traders hold on to financial instruments for longer periods of time, typically for months or years, in the hope of making a profit from major price movements.

Speculation can be a complex activity, and there are a number of factors that speculators need to take into account when making their decisions. These factors include:

* The current market conditions
* The economic outlook
* The political climate
* The technical analysis of the financial instrument

Speculation can be a profitable activity, but it is important to remember that it is also a risky activity. Before speculating, it is important to understand the risks involved and to have a sound risk management strategy in place.

Here are some additional resources that you may find helpful:

* [Investopedia: Speculation](https://www.investopedia.com/terms/s/speculation.asp)
* [The Balance: Speculation](https://www.thebalance.com/speculation-101-4178110)
* [InvestingAnswers: Speculation](https://www.investopedia.com/terms/s/speculation.asp)

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