Definition of Zero-Sum Game
A situation where one participant's gain is exactly equal to another's loss. Forex trading is often described as zero-sum because for every buyer there is a seller, and profit for one party means loss for the other (excluding broker costs).
At a glance
Example
Apply the definition: restate “Zero-Sum Game” in one sentence tied to your next trade (symbol, direction, size, stop). If you cannot, re-read the definition above.
Common mistake
Common mistake: using “Zero-Sum Game” as loose slang while your broker/platform specification defines it more narrowly.
Professional tip
Tip: bookmark this “Zero-Sum Game” page and reopen it when reading broker specs so definitions stay consistent.