%% 1st time one blows up , or in my case short term grinds an account down to zero; that's a word to the wise ''operator trouble '' as my banker dad used to say/LOL. No wonder so many imagine a get rich quick/look @ all the ''lotto ads'' Even stranger , the few lotto '' winners'' unquote, blow it/bankrupt...……... WHO would have though a get rich quick lotto player doesn't know how to budget/handle money?? [sarcasm]
The worst thing to happen is to make a lot of monies right from the get go. Happened to me. In the dot com boom I had 100 shares of EMLX and 200 shares of TLGD. Do not remember the exact prices I paid but, long story short, I sold both stocks and made $25,000. That was a lot of money for me. All in cash in my bank account. I was stoked, treated about 60 people in the office for lunch at $18 per person in a Japanese restaurant buffet then. Not counting the soda and ice teas, I have generous tips on top of that. Went to Las Vegas 4 times in one year. Not a big gambler though, which was good. Then, I had 200 shares of CSCO at $120 and the market tanked and I kept losing monies on CSCO and my other investments. Buy and hold they said. Now, not only did I lose those monies I won but, my own capital on top of it. That is when I realized Buy and Hold as a strategy was crazy. CSCO closed on June 26, 2020 at $46.31. Had I held my positions, I would still be losing monies, 21 years after with nothing to show for it? Now, I know better and how to trade the stockmarket after all the expensive lessons. Eventually, you learn or you fail. Learning is better and making monies is sweeter.
%% EMLX + CSCO= supergood trenders, But one still needs some sort of selling plan ; CSCO=case in point
Got into CSCO late after I had already made my $25,000 from EMLX and TLGD. Started off as an investor losing a lot of monies before switching to being a trader. Still, I had a lot of things I did know then, like risk management and position sizing. Using stop losses and managing your trades efficiently. All of it important. Even if you are an investor, you still need to manage your investments and protect your capital at all times.
Interesting point in #1 in the image of the book. Many in the markets do not tolerate divergent opinions.
He had cancer. He consulted only 1 doctor (tho, supposedly, the best in the world). Doctor told, that he has 18 months to live (or so). Then he brought, the other two ,,best in the world''. Placed all of em, at one table. Turns out that he will not need any surgery, and not only that he will live, but few pills per day will be enough. I think, that's what he had in mind more likely. He also said ,,bet against consensus'', thus #1, probably reflects that. (multitasking atm (yeah,not good), sorry if written something completely off)
Huh? Point one was to seek out the smartest people that disagreed with him and learn from them, their understanding. I think that is a good idea.
(laughs) Probably my English, betrayed me once more. I think the same as well. That's why it was marked in green and have a green - monday
Idk what sort of people we talk about but the "smartest" may not even start argumenting. They may realize its more beneficial to keep information and watch surroundings instead of interacting. Then maybe at some points show how well they predict and see you trough.. At least thats my experience with "smart" people