Jesse Livermore

[sidney]

Can a person be both a Jl and WB? Both methods diverge alot. Almost opposites, yet both seems to able to make money
Hmm reading this thread makes me understand more on a trader's psychology.

JL died a sad man... when we gauge a person, probably we should ask, He's rich and successful*, but did he finish well?


*Successful is often ambiguous with our own terms of interpretation.

[kennynah]

a person can only be himself or herself....

all these postings on JL and WB are to examine their trading/investment practice so that we can learn from their skills.... we have ascertained that we are not emulating their lifestyles nor personal habits.

[sidney]

I certainly hope to achieve mininum tution fees for maximum payoff.. Am i too greedy? lol

[millionairemind]

I certainly hope to achieve mininum tution fees for maximum payoff.. Am i too greedy? lol

Sidney,

Not necessary, as long as you are very open to learning from those who have gone before you, people like JL

If you acknowledge that the Market is the master and you are the student and that it is always right, no matter how ridiculous it can get, then the school fees that you pay will be very minimal

WIsh you a HUAT HUAT journey.

BTW, I do like your ever changing signature

Cheers,
mm

[kennynah]

I certainly hope to achieve mininum tution fees for maximum payoff.. Am i too greedy? lol

Sid: invearing is a never ending journey; it's in fact interwoven into our lives, if ee so choose this path. some of us have embarked on this journey earlier than u, as have many before us. And as many of those have lost n profitted along the way, we learn that investing, in itself can be our teachers of what life is; and that is not always measured by % returns
I hope u will soon discover the enormous benefits of self discovery via investing

[sidney]

I certainly hope to achieve mininum tution fees for maximum payoff.. Am i too greedy? lol

Sidney,

Not necessary, as long as you are very open to learning from those who have gone before you, people like JL

If you acknowledge that the Market is the master and you are the student and that it is always right, no matter how ridiculous it can get, then the school fees that you pay will be very minimal

WIsh you a HUAT HUAT journey.

BTW, I do like your ever changing signature

Cheers,
mm

Thank you MM. Wish you a Huat Huat journey too. Maybe i would like to add a point is: Those who have a vision will survive richer during this crisis. On the market is always right, i remembered some guru mentioned: Short run mkt is voting machine; long run mkt is weighting machine.

If cannot outvote by going against mkt, we can choose equities we are confident and wait for the weighting machine to tip the balance. I am going by this perspective bcos 1) i have no idea how deep, broad or shape of recoveries; 2) no trading experiences, capital nor guideline to play voting game; 3) thirdly i have no time horizon to realise gain/losses. (apparently i never set any time horizon.. dun koe this is gd or bad...)

[sidney]

I certainly hope to achieve mininum tution fees for maximum payoff.. Am i too greedy? lol

Sid: invearing is a never ending journey; it's in fact interwoven into our lives, if ee so choose this path. some of us have embarked on this journey earlier than u, as have many before us. And as many of those have lost n profitted along the way, we learn that investing, in itself can be our teachers of what life is; and that is not always measured by % returns
I hope u will soon discover the enormous benefits of self discovery via investing

Kenny, how true. Investors education started the moment i brought the first stock. I'll be keeping that stock for rememberance even there is no economical value. On self discovery, i think i already did some... i always questions why why why (hope fomuies can understand my curiousity:) )

[millionairemind]

• "It is foolhardy to make a second trade, if your first trade shows you a loss. Never average losses. Let this thought be written indelibly upon your mind."

• Livermore's money made in speculation came from "commitments in a stock or commodity showing a profit right from the start." Don't hang on to a losing position for very long.

• "All through time, people have basically acted and reacted the same way in the market as a result of: greed, fear, ignorance, and hope. That is why the numerical (technical) formations and patterns recur on a constant basis."

If you bought a stock and it goes down.. this tells you 2 things.

1. Your reasoning for buying the stock was wrong. You may think it is a bargain (value investor) or you have analyzed the growth prospect (growth investor) but the mkt thinks other wise.

2. Your reasoning was correct but your timing was wrong. In a downtrend, almost all stocks get pulled down, regardless of fundamentals.

When this happens, cut and wait for a better time to get into the mkt. Or better yet, turn around and short..

This bear mkt is a classic case of never averaging down on a losing position only to see your stocks decimated.

[millionairemind]

When I'm bearish and I sell a stock, each sale must be at a lower level than the previous sale. When I am buying, the reverse is true. I must buy on a rising scale. I don’t buy long stocks on a scale down, I buy on a scale up.
Jesse Livermore - Bear Market - Stocks - Investing

The market does not beat them. They beat themselves, because though they have brains they cannot sit tight.
Jesse Livermore - Stock Market - Self Control -

The price pattern reminds you that every movement of importance is but a repetition of similar price movements, that just as soon as you can familiarize yourself with the actions of the past, you will be able to anticipate and act correctly and profitably upon forthcoming movements.
Jesse Livermore - Stock Market - Investing - Learning

The average man doesn’t wish to be told that it is a bull or a bear market. What he desires is to be told specifically which particular stock to buy or sell. He wants to get something for nothing. He does not wish to work. He doesn’t even wish to have to think.
Jesse Livermore - Bear Market - Stocks - Stock Market - Laziness

I never hesitate to tell a man that I am bullish or bearish. But I do not tell people to buy or sell any particular stock. In a bear market all stocks go down and in a bull market they go up.
Jesse Livermore - Bear Market - Stocks - Stock Market - Investments

[millionairemind]

On the General Stock Market

"There is only one side to the stock market;....not the bull side or the bear side, but the right side. It took me longer to get that general principle fixed firmly in my mind than it did most of the more technical phases of the game of stock market speculation."

On Attitude

"People who look for easy money invariable pay for the privilege of proving conclusively that it cannot be found on this earth."

On Odds

"But I can tell you after the market began to go my way I felt for the first time in my life that I had allies - the strongest and truest in the world; underlying conditions."

On Charting Basics

"If a stock doesn't act right don't touch it; because, being unable to tell precisely what is wrong, you cannot tell which way it is going. No diagnosis, no prognosis. No prognosis, no profit."

On Basic Principles

"My plan of trading was sound enough and won oftener that it lost. If I had stuck to it I'd have been right perhaps as often as seven out of ten times."

On Stock Tips

"I know from experience that nobody can give me a tip or series of tips that will make money for me than my own judgement."

On Confidence

"A man must believe in himself and his judgement if he expects to make a living at this game."