33 replies to this topic

[laza]

Have to say something contrary here. Livermore seems revered on this board as well he should be. Yet this board seems to be about as anti-Livermore as it gets when it comes to implementing his trading principles.

Couldn't agree more.

And here's the record of one of the biggest Livermore fans there is:

https://www.kaching....62746/analytics

[andiron]

Have to say something contrary here. Livermore seems revered on this board as well he should be. Yet this board seems to be about as anti-Livermore as it gets when it comes to implementing his trading principles. You be the judge. Here are some of his quotes.

"You never grow rich taking a 4 point profit in a bull market".

"Disgarding the big swing and trying to jump in and out was fatal to me. Nobody can catch all the fluctuations."

"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." "Of all the speculative blunders there are few greater than trying to average a losing game."

"Timid people don't like to buy stocks at record highs." "Remember that stocks are never too high to begin buying or too low to begin selling."

"When prices are in a narrow range don't anticiapte the next big price movement."
......

however, the classic is this:

The tyro knows nothing and everyone, including himself, knows it. But the next grade thinks that he knows a great deal and makes other feel the same way. He is the experienced sucker, who has studied- not the market itself but a few remarks about the market made by still a higher grade of suckers. The second-grade sucker knows how to keep from losing in some of the ways that get the raw beginner. It is this semisucker who is the real all-the-year round support of the commision houses. It is naturally the semisucker who is always quoting the famous trading aphorisms and the various rules of the game. He knows all the don't that ever fel from the oracular lips of the old stagers- excepting the principal one, which is: Don't be a sucker.
This semisucker is the type that thinks he has cut his wisdom teeth because he loves to buy on declines. He waits for them. He masures his bargains by the number of points it has sold off the top. In big bull market the plain unadulterated sucker, utterly ignorant of rules, buys blindly and makes most of the money. Until one healthy reaction takes it away. But the Careful Mike sucker does what i did when i thought i was playing the intelligently......

Also a variation of above in

http://www.chartsand...dumbest-of-all/

[dasein]

souelle, i read it as a potential double top, people dont always write the long word potential, since we know this is all about talking about probablities and possibilities, etc. would it help if you just kept potential in mind when anyone makes a forward looking statement? most revisits to a previous hi or lo are good candidates for a reversal of some sort - very short term, a few points at least - this is not such a bad strategy to keep in mind if you like to be a top/bottom picker, are willing to get out fast, etc.

[NAV]

Have to say something contrary here. Livermore seems revered on this board as well he should be. Yet this board seems to be about as anti-Livermore as it gets when it comes to implementing his trading principles. You be the judge. Here are some of his quotes.

"You never grow rich taking a 4 point profit in a bull market".

"Disgarding the big swing and trying to jump in and out was fatal to me. Nobody can catch all the fluctuations."

"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." "Of all the speculative blunders there are few greater than trying to average a losing game."

"Timid people don't like to buy stocks at record highs." "Remember that stocks are never too high to begin buying or too low to begin selling."

"When prices are in a narrow range don't anticiapte the next big price movement."

Most important of all was his advice on sitting tight when you are in a winning position. "It never was my thinking that made the money for me but my sitting".... Because as he said "But it is only afer a stock operator has firmly grasped this that he can make the big money." Livermore could be in a winning position and see an adverse move coming against his position but still sit tight. "I can sit without a twinge of impatience. I can see a setback without being shaken....."

"You must not permit yourself set opinions. Never disregard the message of the tape."

The most important thing I learned from the likes of Livermore and Darvas is all that counts is price and *only* price. I would be looking at a very, very bleak retirement had I not trashed and thrown out all the predictive tools be they oscillators, indicators, volume, waves, cycles, etc., etc, and focused solely on price. Thank you Mr. Livermore and Mr. Darvas.

Gary,