NEW YORK (TheStreet) -- The 140th running of the Kentucky Derby was Saturday. It is called "the greatest two minutes in sports," and it usually sees hundreds of millions of dollars in wagers.
I attended my first horse race and made my first bet when I was a young lad in Ireland. I have always had an affinity with horse racing that spilled over to my love of trading. Believe it or not, horse racing and trading go hand in hand. Yes, there is the gambling aspect in both that attracts people, but each has its own methodology that can help determine winning trades and horses.
(Benoit Photo / Associated Press / March 8, 2014)
With stocks, traders and investors look to fundamental analysis, price earnings ratios and charting to pick winners.
A similar approach called handicapping exists with horse racing. To find the winning horse, a bettor can look at a horse's breeding, how it ran its last race and the horse's performance at certain distances. The bettor uses that information to determine the horse on which to wager.
Some bettors pick horses based on the trainer or the hot jockey. My wife selects her horses based on the uniqueness of the horse name and the color of the jockey's outfit! Be it trading or horse racing, there is analysis involved and there are decisions to be made.
My money was on the winner, California Chrome!