- haven't read 'Reminiscences' (his mkt was rigged but he still found a way...) he also said markets never change. so its still rigged. and livermore got very upset about certain types of thievery.
And BTW the WHOLE economy is rigged, hence why people are enslaved by debt bondage from birth. I agree we all want manumission, but is it really possible? so I guess its a matter of "if you can't beat em' , join em'"
livermore went bust many many times.. too many times for a good trader. and he eventually lost. why would you admire anyone like that? plus markets do change. their agents might not but strategies, technologies, financial product innovation have changed everything and continue to do so.
Put it this way . . . What do you think the traders known as "locals" in the commodity pits of the NYMEX, NYBOT, CBOT, or CME use in some of the buy/sell decisions that they make during the day?
I have my only strategy that has made me money for a long time. Sell high, buy low, then buy low and sell high. This most likely entails almost completely ignoring or fading what you here on the news or read in the paper. Look at all of the bad news coming out for oil, if you notice there are forces trying to push the price up over 100/bl but they just cant do it. I usually dont laugh at anothers loss, but when something or someone is trying to rig a market and gets left holding the bag when prices move sharply south, especially when its opec, i am rotfpimp (rolling on the floor pissing in my pants). When its the fed trying to cut rates when the dollar is plummeting, housing prices grossly inflated, surging inflation in commodities, and prices STILL go south, . AHAHAHAHHAHHHAHHHAH!!! chuckle shuckle. What is not funny is how the average american who does not speculate in the markets, now bleeds from a depreciating currency for the hopes that a few banks that made bad loans will be saved and a few speculators or gamblers trying to buy the markets at the absolute top can make a few more pennies. What these losers dont get is the markets are a zero sum game, any representation to the contrary is fraud.
Don't know - but I beleive they're essentially market makers. I guess they might use some statistical price ideas etc for their inventory to study supply and demand. but I doubt it if they ever move markets.
oh and ..... markets are far far from random. Everything in life including in the markets happen for a reason, whether you are aware of the reasons or not.
PARACLESE a question. I met a Phd trader once who i tried to impress by saying market is a zero sum game and he asked what pushes up the index? say e.g. SPX. why does it goes up? anyways to the point, those who assume market is zero-sum arn't good game theorists.