Jesse Livermore

[turtle]

People don't seem to grasp easily the fundamentals of stock
trading. I have often said that to buy on a rising market is the
most comfortable way of buying stocks. Now, the point is not so
much to buy as cheap as possible or go short at top prices, but
to buy or sell at the right time. When I am 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 stock on a scale down, I buy on a
scale up.

- Jesse Livermore

[asiatrader98]

Sit tight
“A man may see straight and clearly and yet become impatient or doubtful when the market takes its time about doing as he figured it must do. That is why so many men in Wall Street, who are not at all in the sucker class, not even in the third grade, nevertheless lose money. The market does not beat them. They beat themselves, because though they have brains they cannot sit tight.”

- Jesse Livermore

[turtle]

There is nothing like losing all you have in the world for teaching you what not to do. And when you know what not to do in order not to lose money, you begin to learn what to do in order to win. Did you get that? You begin to learn!

- Jesse Livermore

[bizfun]

"Fear your losses and let your profits run"

"It was never my thinking that made me money but my sitting tight"

"Markets are never wrong, opinions are"

- Jesse Livermore

[chan9]

Hai,

I am new in this forum, Jesse Livermore is the author? Will u recommanded me her/his favorate book

[Maxforce]

For more information about Jesse Livermore's Books -
http://fusiontrader.blogspot.com/2007/04/ebook-jesse-livermore.html

Limited time only   

[Maxforce]

Failure is the first step to success.
Without being humbled by the market, one cannot know if he is a trader.
In any case, in the end, Livermore was more of an operator, can call him syndicate if it is today.

[Maxforce]

Could be - we dont know.
He made big bucks then suddenly no idea where it go.
Ppl think its that he lost it. But no one know for sure.

His family also a lot of problem. Court case, accident, divorce, death threats, etc etc.

[Maxforce]

Tan Teng Boo isnt exactly my role model 

[oneman]

I capital also not 100% correct at all times.

Livermore also not that perfect...

therefore...

1. Bet small
2. Has an airbag & safety belt fund
3. Market do changes...so your tactics may obsolete
4. Keep your focus & control intact

[Maxforce]

But one thing we need to understand is that during Livermore's time, there were less participation in the market.
There were no books to read.
Bucket shops were everywhere.
Livermore basically laid down the rules through his experience. You can say he was the pioneer.
Had he trade today, with the many advent of knowledge laying around in many places, I am sure he would have been more successful.

[Maxforce]

Yeap, sources not many at that time..... 
But, I think he will still failed sometimes even if he trade today. with due respect to him (he's one of my idol  ) , I think certain techniques used by him can't be done today as SC will be the guard for all this activities....  Besides, rules today are quite strict compares to his time especially if we are talking about commodities exchange where J.Livermore used to made big names there. the last two chapter (if I am not mistaken) on "reminiscies of stock operator" did pointed out the change of legal stuff and enforcement. So, he himself realised that certain techniques can't be used anymore. (correct me if I am wrong)

So, I still can't figure out what went wrong for his trading career so far...  I believe this way.... if we know where he did wrong, we can prevent ourselves from having the same inconsistency. By saying that, I believe it's always more important to learn from failure stories ...... the facts is there are more failure cases compares to sucessful cases in trading 

Of course there are changes but Livermore is adaptive.
What went wrong? Simple - Livermore is also known as the Boy Plunger.

[oneman]

How can I marah the next Sifu ??  

point no 1. bet small ...

- the objective of 'bet small' here is meaning that, in case we lose, we can still pay the broker and keep playing. The ability to keep playing after string of losers is a mark of a succesful trader. Also 'my small' is differ than 'your small'.

-big bet or aka as Overtrading is no 1 killer of wannabees traders.

-Hantam kaw-kaw is okay, as long as we have confidence, but OVERCONFIDENCE is different...

....like 95% American Idols contestants. Sing so awful but confidence can sing...

point no 3.

Yes sir, market DO changes...reason: YOUR FRIENDS aka the market...change their tactics. But sadly, their tactics are known and mimicked by the market.....

Reason that breakout system ur are using quite succesfull coz MAYBE most operator of FKLI dont use breakout system. Dont believe me..ask here, anybody else use it ? Some more ur breakout style maybe different than 'their breakout'.

If   A L L    chefs in town are expert cooking curry using breakout styles, how can each of them maximizes their breakout gains?...

Or maybe your 'behind the scene ugly-duckling ' STOP-LOSS' is so good, you minimizez ur loss....
....but you credited your ''beautiful on-stage performer'' breakout style as ur darling...

Market do changes, but more important , do we have ONE UNFAIR ADVANTAGE each time when the market changes ? You seems to have this 'unfair advantage'..Thank God for it  

Just my 3 cents...