This is a fascinating graphic, and of the analysis is correct, we have radically overstated if the American Dream is alive and well in this country:
A revolution in genomics is creeping into economics. It allows us to say something we might have suspected, but could never confirm: money trumps genes.
Using one new, genome-based measure, economists found genetic endowments are distributed almost equally among children in low-income and high-income families. Success is not.
The least-gifted children of high-income parents graduate from college at higher rates than the most-gifted children of low-income parents.”
Yes ,3rd Time Reading This Book…………….Mind Blowing Book
Always Searching Something …………………………and Still Lose Money in Trading + Investment
Lesson Number One: Cut your losses quickly.
As soon as a trade is contemplated, a trader must know at what point in time he’ll be proven wrong and exit a position. If a trader doesn’t know his exit before he takes the entry, he might as well go to the racetrack or casino where at least the odds can be quantified.
Lesson Number Two: Confirm your judgment before going all in.
Livermore was famous for throwing out a small position and waiting for his thesis to be confirmed. Once the stock was traveling in the direction he desired, Livermore would pile on rapidly to maximize the returns.
There are several ways to buy more in a winning position — pyramiding up, buying in thirds at predetermined prices, being 100% in no more than 5% above the initial entry — but the take home is to buy in the direction of your winning trade – never when it goes against you.
Lesson Number Three: Watch leading stocks for the best action.
Livermore knew that trending issues were where the big money would be made, and to fight this reality was a loser’s game. (more…)