4 replies to this topic

[Dex]

Here are nine surprising things Jesse Livermore said regarding excessive trading:

1. “Money is made by sitting, not trading.”

2. “It takes time to make money.”

3. “It was never my thinking that made the big money for me, it always was sitting.”

4. “Nobody can catch all the fluctuations.”

5. “The desire for constant action irrespective of underlying conditions is responsible for many losses in Wall Street even among the professionals, who feel that they must take home some money everyday, as though they were working for regular wages.”

6. “Buy right, sit tight.”

7. “Men who can both be right and sit tight are uncommon.”

8. “Don’t give me timing, give me time.”

[OEXCHAOS]

I find that when I start grumping about missing a few hard to predict moves, I need to nip that in the bud. Perfectionism will lead to either over- or under- ( or NO) trading.

 

M

[K Wave]

I find that when I start grumping about missing a few hard to predict moves, I need to nip that in the bud. Perfectionism will lead to either over- or under- ( or NO) trading.

 

M

You don't even need to be perfect in this environment. Buy somewhere near the low, and sell somewhere near the highs.

 

I have left tons on the table on both entries and exits, and still making a killing since VIX started ramping up in Mid-Feb.

 

Just using a simple 1 min 900 MA could have made you killings in too many stocks to count.

Sure, you might get stopped out for teeny losses a few times trying to time the turn, but then something like the Cruise Lines ramp happens, or Crude today, and you make 50-100% gains in hours or days.

Same on the downside playing the chart in reverse.

 

The charts are actually still working just fine...the space between the lines is just bigger....which means bigger swings and bigger profits in the same time frame.

I absoluteley love this environment. The opportunities for quick compounding of gains is astounding conpared to "normal" times.

 

That said, if you have trouble using stops, then you could have some troubles, as the moves against you when wrong can also be big if you let them.

Edited by K Wave, 02 April 2020 - 03:23 PM.

[Dex]

I find that when I start grumping about missing a few hard to predict moves, I need to nip that in the bud. Perfectionism will lead to either over- or under- ( or NO) trading.

 

M

 

 

Before the crash I was 50% in cash the rest in bonds

 

This is where I stand and what I will be buying.  Right now I'm waiting for the opportunity.  This is not a V bottom.

 

 15.1% REM - Real estate - 32% to buy
> 17.1% TDIV - technology - 100% to buy
> 8.2%  XLE - energy
> 6.9%  XTN - transportation - 100% to buy
> 7.1%  CODI - small caps high div - 83% to buy
> 3.1%  XLC - Communications - possibly something else - 100% to buy
> 0.2%  cash
> 22.4% PREMX - High yield emerging market bonds
> 20.0% NHMAX - High yield muni bonds - tax free
> 100.0%       

[Dex]

 

I find that when I start grumping about missing a few hard to predict moves, I need to nip that in the bud. Perfectionism will lead to either over- or under- ( or NO) trading.

 

M

 

 

Before the crash I was 50% in cash the rest in bonds

 

This is where I stand and what I will be buying.  Right now I'm waiting for the opportunity.  This is not a V bottom.

 

 15.1% REM - Real estate - 32% to buy
> 17.1% TDIV - technology - 100% to buy
> 8.2%  XLE - energy
> 6.9%  XTN - transportation - 100% to buy
> 7.1%  CODI - small caps high div - 83% to buy
> 3.1%  XLC - Communications - possibly something else - 100% to buy
> 0.2%  cash
> 22.4% PREMX - High yield emerging market bonds
> 20.0% NHMAX - High yield muni bonds - tax free
> 100.0%       

 

Just a reminder.  If we are in a rising wedge then this decline should equal the amount of the decline from the top to the low.