Keep a Cash Reserve

  • The successful speculator must always have cash in reserve.
  • There is a never ending stream of opportunities in the stock market, and if you miss a good opportunity, wait a little while, be patient, and another one will come along.
  • This desire to “always be in the game,” is one of the speculator’s greatest enemies in managing his money.
  • Often money that is just sitting can later be moved into the right situation at the right time and make a vast fortune – patience – patience – patience is the key to success not speed – time is a cunning speculator’s best friend if he uses it right.