Jesse-Livermore-top ten quotes

When you know what not to do in order not to lose money, you begin to learn what to do in order to win.

Jesse Livermore

A loss never bothers me after I take it. I forget it overnight. But being wrong – not taking the loss, that is what does damage to the pocket book and to the soul.

Jesse Livermore

Successful traders always follow the line of least resistance. Always follow the trend. The trend is your friend.

Jesse Livermore

Men who can both be right and sit tight are uncommon. I found it one of the hardest things to learn. But it is only after a stock operator has firmly grasped this that he can make big money.

Jesse Livermore

You can spot where the buying is only a trifle better than the selling. A battle goes on in the market and the tape is your telescope. You can trust it seven out of ten cases.

Jesse Livermore

The loss of money didn’t bother me. Whenever I have lost money in the stock market I have always considered that I have learned something, that if I have lost money I have gained experience, so that the money really went for a tuition fee. A man has to have experience and he has to pay for it.

Jesse Livermore

I did precisely the wrong thing. The cotton showed me a loss and I kept it. The wheat showed me a profit and I sold it out. Of all the speculative blunders there are few greater than trying to average a losing game. Always sell what shows you a loss and keep what shows you a profit.

Jesse Livermore

He would buy one hundred shares of some active stock and when, or if, it went up 1% he would buy another hundred. On another points advance another hundred and so on. He would put in a stop-loss order one point below the price of his last purchase. When the price kept going up he simply moved up his stop with it.

Jesse Livermore

When I had a profit of at least four points in each and every of the twelve stocks that I was short of, I knew that I was right. The tape told me it was now safe to be bearish so I promptly doubled up. I had my position.

Jesse Livermore

As far as I am concerned it is a full-time job – perhaps even more than a job. Perhaps it is a vocation, where many are called but few are singled out for success.

Jesse Livermore

I always laugh at people who say “I´ve never met a rich technician”. I love that! It´s such an arrogant, nonsensical response. I used fundamentals for 9 years and got rich as a technician.

Martin Schwartz

Trading must be addressed as a profession, because if you do not treat it as such, those who do will separate yourself from your money very quickly.

Martin Schwartz

Hard work is the primary reason why I´ve become so successful, but hard work is just part of the equation.

Martin Schwartz

On Wall Street, when you tell your boss you´re leaving, they immediately seal all your files, check your briefcase, give you a rectal exam, and escort you to the door.

Martin Schwartz

You have to master your ego and realize that being profitable is more important than being right.

Martin Schwartz

To be a winner you have to be willing to toe the line and pull the trigger.

Martin Schwartz

Preparation pays. It is essential to know more than the other players in the game.

Martin Schwartz

One of the great tools of trading is the stop, the point at which you divorce yourself from your emotions and ego and admit that you´re wrong.

Martin Schwartz

By preserving your capital through the use of stops, you make it possible to wait patiently for a high-probability trade with a low-risk entry-point.

Martin Schwartz

Trading is a psychological game. Most people think they are playing against the market, but the market doesn´t care. You´re really playing against yourself.

Martin Schwartz

I consider myself a premier market opportunist. That means I develop an idea on the market and pursue it from a very-low-isk standpoint until I have repeatedly been proven wrong, or until I change my viewpoint.

Paul Tudor Jones

I spend my day trying to make myself as happy and relaxed as I can be. If I have positions going against me, I get right out; if they are going for me, I keep them.

Paul Tudor Jones

The most important rule of trading is to play great defense, not great offense.

Paul Tudor Jones

Don’t be a hero. Don’t have an ego. Always question yourself and your ability. Don’t ever feel that you are very good. The second you do, you are dead.

Paul Tudor Jones

Don’t focus on making money, focus on protecting what you have.

Paul Tudor Jones

I know that to be successful, I have to be frightened. My biggest hits have always come after I have had a great period and I started to think that I knew something.

Paul Tudor Jones

When I trade, I don’t just use a price stop, I also use a time stop. If I think a market should break, and it doesn’t, I will often get out even if I am not losing any money.

Paul Tudor Jones

Every day I assumed ever position I have is wrong. I know where my stop risk points are going to be. I do that so I can define my maximum possible drawdown. Hopefully, I spend the rest of the day enjoying positions that are going in my direction. If they are going against me, then I have a game plan for getting out.

Paul Tudor Jones

I believe the very best money is made at the market turns. Everyone says you get killed trying to pick tops and bottoms and you make all your money by playing the trend in the middle. Well for twelve years I have been missing the meat in the middle but I have made a lot of money at tops and bottoms.

Paul Tudor Jones

Don’t be too concerned about where you got into a position. The only relevant question is whether you are bullish or bearish on the position that day. Always think of your entry point as last night’s close.

Paul Tudor Jones

The elements of good trading are: (1) cutting losses, (2) cutting losses, and (3) cutting losses. If you can follow these three rules, you may have a chance.

Ed Seykota

I feel my success comes from my love of the markets. I am not a casual trader. It is my life. I have a passion for trading. It is not merely a hobby or even a career choice for me. There is no question that this is what I am supposed to do with my life.

Ed Seykota

I sometimes get the most confident of my ability just before a major losing streak.

Ed Seykota

A losing trader can do little to transform himself into a winning trader. A losing trader is not going to want to transform himself. That’s the kind of thing winning traders do.

Ed Seykota

The key to long-term survival and prosperity has a lot to do with the money management techniques incorporated into the technical system. There are old traders and there are bold traders, but there are very few old, bold traders.

Ed Seykota

I seem to have a gift. I think it is related to my overall philosophy, which has a lot to do with loving the market sand maintaining and optimistic attitude. Also, as I keep trading and learning, my system keeps evolving. I would add that I consider myself and how I do things as a kind of system which, by definition, I always follow.

Ed Seykota

The profitability of trading systems seems to move in cycles. Periods during which trend-following systems are highly successful will lead to their increased popularity. As the number of system users increases, and the markets shift from trending to directionless price action, these systems become unprofitable, and undercapitalized and inexperienced traders will get shaken out. Longevity is the key to success.

Ed Seykota

I am primarily a trend trader with touches of hunches base don about twenty years of experience. In order of importance to me are: (1) the long-term trend, (2) the current chart pattern, and (3) picking a good spot to buy or sell. Those are the three primary components of my trading. Way down in very distant fourth place are my fundamental ideas and, quite likely, on balance, they have cost me money.

Ed Seykota

I try to identify a point at which I expect the market momentum to be strong in the direction of the trade, so as to reduce my probable risk. I don’t try to pick a bottom or top.

Ed Seykota

I set protective stops at the same time I enter a trade. I normally move these stops int o lock in a profit as the trend continues. Sometimes, I take profits when a market gets wild. This usually doesn’t get me out any better than waiting for my stops to close in, but it does cut down on the volatility of the portfolio, which calm my nerves. Losing apposition is aggravating, whereas losing your nerve is devastating.

Ed Seykota

The key is consistency and discipline. Almost anybody can make up a list of rules that are 80% as good as what we taught. What they can’t do is give people the confidence to stick to those rules even when things are going bad.

Richard Dennis

For a lot of traders, it doesn´t matter so much whether their first big trade is successful or not, but whether their first big profit is on the long or the short side. Those people tend to be perennial bulls or bears, and that is very bad. Both sides have to be equally OK.

Richard Dennis

When you have a destabilizing loss, get out, go home, take a nap, do something, but put a little time between that and your next decision.

Richard Dennis

We are going to grow traders just like they grow turtles in Singapore.

Richard Dennis

You have too minimize your losses and try to preserve capital for those few instances when you can make a lot in a very short period of time.

Richard Dennis

I always say that you could publish your trading rules in the newspaper and no one would follow them. The key is consistency and discipline.

Richard Dennis

I would write down observations and think about them. I thought about everything I was doing.

Richard Dennis

I could trade without knowing the name of the market.

Richard Dennis

Whatever method you use to enter trades, the most critical thing is that if there is a major trend, your approach should assure that you get in that trend.

Richard Dennis

Trading decisions should be made as unemotionally as possible.

Richard Dennis

The most important single factor in shaping security markets is public psychology.

Gerald M Loeb

To make money in the stock market you either have to be ahead of the crowd or very sure they are going in the same direction for some time to come.

Gerald M Loeb

Accepting losses is the most important single investment device to insure safety of capital.

Gerald M Loeb

The difference between the investor who year in and year out procures for himself a final net profit, and the one who is usually in the red, is not entirely a question of superior selection of stocks or superior timing. Rather, it is also a case of knowing how to capitalize successes and curtail failures.

Gerald M Loeb

One useful fact to remember is that the most important indications are made in the early stages of a broad market move. Nine times out of ten the leaders of an advance are the stocks that make new highs ahead of the averages.

Gerald M Loeb

There is a saying, “A picture is worth a thousand words.” One might paraphrase this by saying a profit is worth than endless alibis or explanations. . . prices and trends are really the best and simplest “indicators” you can find.

Gerald M Loeb

Profits can be made safely only when the opportunity is available and not just because they happen to be desired or needed.

Gerald M Loeb

Willingness and ability to hold funds uninvested while awaiting real opportunities is a key to success in the battle for investment survival.-

Gerald M Loeb

In addition to many other contributing factors of inflation or deflation, a very great factor is the psychological. The fact that people think prices are going to advance or decline very much contributes to their movement, and the very momentum of the trend itself tends to perpetuate itself.

Gerald M Loeb

Most people, especially investors, try to get a certain percentage return, and actually secure a minus yield when properly calculated over the years. Speculators risk less and have a better chance of getting something, in my opinion.

Gerald M Loeb

In this game, the market has to keep pitching, but you don’t have to swing. You can stand there with the bat on your shoulder until you get a fat pitch

Warren Buffet

I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful.

Warren Buffet

If you are in a poker game and after 20 minutes, you don’t know who the patsy is, then you are the patsy.

Warren Buffet

It is only when the tide goes out that you can see who is swimming naked.

Warren Buffet

Derivatives are financial weapons of mass destructions.

Warren Buffet

Price is what you pay, value is what you get.

Warren Buffet

Risk comes from not knowing what you are doing.

Warren Buffet

Our favorite holding period is forever.

Warren Buffet

Only when you combine sound intellect with emotional discipline, you get rational behavior.

Warren Buffet

Rule No.1: Never lose money. Rule No.2: Never forget rule No.1.

Warren Buffet

Although it’s easy to forget sometimes, a share is not a lottery ticket… it’s part-ownership of a business.

Peter Lynch

The list of qualities [an investor ought to have] include patience, self-reliance, common sense, a tolerance for pain, open-mindedness, detachment, persistence, humility, flexibility, a willingness to do independent research, an equal willingness to admit mistakes, and the ability to ignore general panic.

Peter Lynch

Never invest in any idea you can’t illustrate with a crayon.

Peter Lynch

Everyone has the brainpower to follow the stock market. If you made it through fifth-grade math, you can do it.

Peter Lynch

Go for a business that any idiot can run – because sooner or later, any idiot probably is going to run it.

Peter Lynch

I’ve found that when the market’s going down and you buy funds wisely, at some point in the future you will be happy. You won’t get there by reading “Now is the time to buy”.

Peter Lynch

I got positive feelings when I saw that Taco Bell’s headquarters was stuck behind a bowling alley. When I saw those executives operating out of that grim little bunker, I was thrilled. Obviously they weren’t wasting money on landscaping the office.

Peter Lynch

The person that turns over the most rocks wins the game. And that’s always been my philosophy.

Peter Lynch

When stocks are attractive, you buy them. Sure, they can go lower. I’ve bought stocks at $12 that went to $2, but then they later went to $30. You just don’t know when you can find the bottom.

Peter Lynch

The key to making money in stocks is not to get scared out of them.

Peter Lynch

When I was on Wall Street, we rarely had more than 1:1 leverage, and the highest I recall in my career was 4:1. The idea of leveraging 30:1 or more, as many financial institutions did recently, is not a business.

Michael Milken

Finance is a craft that can become an art with skill and proper application.

Michael Milken

I’ve always found “junk” a peculiar term to use for virtually the entire body of American business outside of a small, elite group. Firms that have not achieved an investment-grade label are rated as “junk.” Yet virtually all net new jobs come from such firms.

Michael Milken

With all this wealth, the problem is not who’s going buy assets, it’s are there any assets to buy with all the liquidity in the world.

Michael Milken

It’s hard to imagine when you’re young how you accumulate wealth. My experience indicates that most people who’ve accumulated a great deal of wealth haven’t had that as their goal at all. Wealth is only a by-product, not the original motivation.

Michael Milken

Beauty is in the eye of the beholder, but the marketplace will later decide whether your eye was a good one.

Michael Milken

The best credit by far, history has shown, has been the private company. Sovereign countries have defaulted 30 times as often as private companies, both domestically and foreign. Individuals default five times as often as private companies.

Michael Milken

Why are we in this financial crisis? There are several reasons, but two issues have arisen periodically over the past 200 years. One is credit ratings, which don’t necessarily reflect credit risk accurately. A second issue is the false belief that you can build a successful financial business through leverage instead of through unleveraged spreads.

Michael Milken

In 2007, rating agencies gave almost 1,300 financial instruments triple-A ratings. They never legitimately deserved a triple-A rating, but that rating enabled the leverage that created the problem.

Michael Milken

Not long ago, the most-valuable real estate in the world was in places like London, Moscow, New York, Dubai and Beverly Hills. No more. Today, the most-valuable real estate is found on the web pages of companies like Google, Facebook, Alibaba, eBay, Amazon, Baidu and YouTube.

Michael Milken

A speculator is a man who observes the future, and acts before it occurs.

Bernard M Baruch

Never pay the slightest attention to what a company president ever says about his stock.

Bernard M Baruch

I made money by selling too soon. I never lost money by turning a profit.

Bernard M Baruch

Most of the successful people I´ve known are the ones who do more listening than talking.

Bernard M Baruch

Pliability: Consider and reconsider the facts, and your opinions. Stubbornness as to opinions-”cockiness”-must be entirely eliminated.

Bernard M Baruch

If a speculator is right half of the time, he is hitting a good average. Even being right 3 or 4 times out of 10 should yield a person a fortune if he has the sense to cut his losses quickly on the ventures where he is wrong.

Bernard M Baruch

Do not blame anybody for your mistakes and failures.

Bernard M Baruch

Be who you are and say what you feel, because those who mind don´t matter and those who matter don´t mind.

Bernard M Baruch

I´m not smart. I try to obeserve. Millions saw the apple fall but Newton was the one who asked why.

Bernard M Baruch

Every man has a right to his own opinion, but no man has a right to be wrong in facts.

Bernard M Baruch