Finance Trends Letter

Jesse Livermore on buying stocks or commodities when they are seemingly "cheap" after a decline: "It isn't as important to buy as cheap as possible as it is to buy at the right time."  - J. Livermore Jesse Livermore, speculator and "stock operator" For more on the great (and ultimately doomed) speculator of the early 20th century, see " Jesse Livermore: How to Trade in Stocks (1940 ebook) ".   Subscribe to the Finance Trends N e wsletter - you'll get actionable trading ideas, investing lessons, and valuable market insights sent to your inbox. You can follow our real-time updates on Twitter .

Lessons on Being Wrong... and Profiting Anyway While revisiting the 1996 documentary Triumph of the Nerds this week, I came upon this fantastic segment on Apple co-founder, Steve Jobs. Finding it eminently quotable (and useful), I just had to share his thoughts from this special clip here. "I don't really care about being right. I just care about success." - Steve Jobs While Jobs was an entrepreneur in the emerging computer industry, and not an outright share investor or speculator, his quote about the relative unimportance of being right hit me right in the trader's gut. Here is a game changing company founder saying, "you know what... I don't need to have the best forecasts or even the most original insights and innovations (hence the looting of Xerox's PARC). I don't need to always be right. I just want to ship the best products and win. That is what will ultimately make Apple the most successful company in our industry....

Welcome to our new readers across the globe. Be sure to check out our popular posts section, filled with market insights and valuable lessons for traders and investors of all levels! Great starting point for new readers and traders: a selection of our most Popular Posts on Finance Trends . Paul Tudor Jones, photo by Annie Leibovitz via Audobon.org. You'll find a newly expanded list of some of our favorite posts, with insights into emerging market trends. Plus, lessons on trading and investing from the masters: Market Wizards such as Paul Tudor Jones, Jesse Livermore, William O'Neil, Victor Sperandeo, Charlie Munger, and Sir John Templeton offer up their hard-earned wisdom.  Equally as important, I hope you'll use our favorite posts to learn from the trading insights offered up by myself and some of the lesser-known (but no less experienced) trading practitioners quoted within.  I have spent years and countless hours researching stocks, scanning charts, speakin...

" There is a time to go long. There is a time to go short. And there is a time to go fishing. " - Jesse Livermore If there is one thing that I have in common with the late, great speculator, Jesse Livermore , it is that we are both "daffy about fishing". Like most great traders, Livermore knew the importance of taking a break from the markets.  Livermore's preferred method of relaxation was to head South for the coastal waters of Florida and do some saltwater fishing from his yacht. I'm a humble trader/writer, so I usually prefer to head out for an afternoon of fly fishing for warmwater species (crappie, bass, bluegill) in the local waters near my home. There's a nice hybrid bluegill (below) that took my fly on a recent outing.  "There is a time to go long. There is a time to go short. And there is a time to go fishing." - Jesse Livermore pic.twitter.com/6XU6EUqfQH — Finance Trends (@FinanceTrends) May 4, 2016 Lately, I've seen...

Legendary speculator Bernard Baruch discusses trading on inside information, stock tips, and the problems of information overload back in 1957 (excerpt from Bernard Baruch - My Own Story ). Bernard Baruch on inside information : "The longer I operated in Wall Street, the more distrustful I became of tips and "inside" information of every kind. Given time, I believed that "inside" information can break the Bank of England or the United States Treasury". Baruch adds that most "inside information" is designed to mislead the gullible and that corporate insiders are just as likely to be led astray by their "infallible" informational advantage and belief in the company. His comments closely resemble Jesse Livermore's sentiments on stock tips and insider information.  Trading on tips : Echoing Joseph Kennedy's anecdote about the stock-tipping shoe shine boy of 1929 , Baruch relates his own tale of taxi drivers, shoe shine ...

In trading, it's best to quickly admit when you're wrong.  If you can keep your losses to a minimum, you will be able to preserve your trading capital (along with your mental capital) and improve your odds of profiting from future opportunities. As Jesse Livermore once said, " I have long since learned, as all should learn, not to make excuses when wrong. Just admit it and try to profit from it. " Can you think of a time when admitting you were wrong saved you from prolonged agony or bigger trading losses? Did you ever turn the situation around or even go on to profit from it? Share your story with us in the comments and on Twitter . Subscribe to Finance Trend s by email or get new posts via RSS .   You can follow our real-time updates on Twitter  

  Legendary trader, Jesse Livermore on being wrong in the markets and how to get yourself right.      "The only thing to do when a person is wrong is to be right - by ceasing to      be wrong. Cut your losses quickly, without hesitation." - Jesse Livermore A timeless lesson for tough markets and the inevitable losses that will come your way (in good markets and bad) in the course of speculation. Manage your risk, don't let your ego's need to be proven "right" take over your trading. Related posts : 1. Jesse Livermore on trading (quotes) . 2. Marty Schwartz ("Pit Bull", trader) speaks at Amherst College .

An oldie, but a goodie... In Reminiscences of a Stock Operator , protagonist Larry Livingston (aka Jesse Livermore) reminds readers of an old phrase, "He went short of Harlem" , which veteran speculators used as a shorthand for "he went bust". Maybe the modern version of that phrase is, " he went short of Tesla ".  He shorted Tesla. http://t.co/UDMCJAhh2x $TSLA — David Shvartsman (@FinanceTrends) September 30, 2013 Your ego may be telling you that the stock is "overvalued" and the bulls are wrong, but the market is telling us that Tesla is an emerging new leader in its dynamic growth phase . The price chart shows a very clear uptrend in progress - demand for the stock is fueling its ascent (for now). Until the facts change and the stock chart reveals a topping pattern and a shift towards a "stage 4" decline (see Stan Weinstein and Mark Minervini for more on this), a long or neutral (on the sidelines) bias would likely...

Some recently popular tweets and quotes on trading and risk management from the great stock operator, Jesse Livermore .  These are direct quotes, books, and article links shared with our followers on Twitter and StockTwits.  You can actually click through in the embedded tweets to see who has retweeted or "faved" each item. Since Twitter is a pretty ephemeral medium, I've decided to collect some favorites (yours and mine) and share them here with you.  Enjoy, and thanks, JL! So few people succeed in the market because they have no patience. They want to get rich quickly. - Jesse Livermore — David Shvartsman (@FinanceTrends) October 14, 2013 " @FinanceTrends : How to Trade in Stocks (1940 ed. ebook) - Jesse Livermore http://t.co/dOpetKquFu $STUDY $SPY " — jeff pierce (@zentrader) October 7, 2013 Provocative take on Jesse Livermore's "fatal" trading flaws: http://t.co/ZjMRoRdwnK | What do you think? $STUDY — David Shvartsman...