Never Listen To Anyone Else, Ever

Discussion in 'Trading' started by ByLoSellHi, Apr 26, 2007.

  1. i do both

    longterm, on average, far more wealth has been built via investing than trading

    i trade for a living (income), but i invest to build wealth

    investing allows you to OWN pieces of the greatest companies and ideas known to man

    i filter money into investments, like clockwork , every month

    any trigger happy trader who doesn't appreciate the world of investing is sadly uninformed
     
    #21     Apr 26, 2007
  2. angry angry angry.
     
    #22     Apr 26, 2007
  3. Add CNBC to the list. :D
     
    #23     Apr 26, 2007
  4. Livermore The Sucker - Part B

    Another occasion when Livermore was suckered was when he broke one of his cardinal rules - <b>the rule that said he should think for himself rather than accepting tips from other people.</b>

    On this occasion he was steadily buying-up shares in Union Pacific when a much respected, and well-informed friend, Ed Harding, called him and told him that insiders were selling Union Pacific - and worse than that, they were selling to Livermore - Livermore was being suckered. The insiders were feeding him all the stock they could shift. Livermore's own reading of the tape was that the stock price was rising due to real demand. He told this to Harding. Harding, his friend, responded:

    "I got heart disease when your orders began to come in. For the love of Mike, don't be a sucker. Get out! Right away. It's liable to bust wide open any minute. I've done my duty. Good-bye!" And he hung up.

    Despite his doubts, Livermore decided to believe his friend. He sold his shares and then sold Union Pacific short at $162.

    The next day Union Pacific declared a 10 percent dividend and the stock leapt to a new record high price. Livermore, realizing the information he had been given was wrong, bought Union Pacific back at $172 and $174 for a total loss of $40,000.

    Livermore was philosophical about the loss. His own interpretation of the tape had been correct. Listening to a tip had been wrong. He did not hold a grudge against Ed Harding because he believed the incident had completed his education as a trader. In Livermore's view, $40,000 was "A low price for a man to pay for not having the courage of his own convictions! It was a cheap lesson."

    http://www.jesse-livermore.com/trading-lessons-suckers.html
     
    #24     Apr 26, 2007

  5. That's nonsense....anyone can get rich the buffet style. One only needs a bit of disposable income to invest, and Time will do the rest.

    You newbies are all the same. Show some respect for one of the best, he's done something you will never do!
     
    #25     Apr 26, 2007
  6. Good point Bylo,

    I've always taken the position when discussing stocks with someone
    "Both of us can't be right" attitude.

    Also, regarding the Livermore comment, the way I've gotten around this: If I have found someone I share ideas with, we have agreements to limit our arguement to one sentence. In Livermores instance, his friend talked to much, less words more thought. Screw the reasons, don't ask, don't tell.

    We've passed trading ideas with sometimes one adjective, I'm not talking about adjectives like POS, but super adjectives like "Tasty" {:>).
     
    #26     Apr 26, 2007
  7. 2006

    2006

    Right and something you will never do as well!

    You want to lick his balls, be my guest, "newbie".

     
    #27     Apr 26, 2007
  8. listen to me - DOW 156,234,561.12 by 2967!
     
    #28     Apr 26, 2007
  9. "listen to me - DOW 156,234,561.12 by 2967!"

    Now I'm curious. Did you make that up or is this a serious projection. Does that compare with todays market value dollars or based on inflation. I just finished an artcile, gosh I lost it, something about 100 days till the Dow added a thousand points. This could be a book, ya know, that other book 36k Dow is tame and lame and only a buck nintey on amazon, I like your projection, of course I won't be here.
     
    #29     Apr 26, 2007