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Free Books :Related to Market

  
  Education
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Most of these books are courtesy of Gutenberg.org and have to be downloaded.
free_books_online
Hidden Treasures, or Why Some Succeed While Others Fail by Harry Lewis
“Successfull Stock Speculation” Butler
“The Tipster” Edwin Lefevre
“Reminiscences” Le Fevre
The Market-Place by Harold Ferderic
Twenty Eight Years in Wall Street by Henry Clews
The Autobiography of Benjamin Franklin by Benjamin Franklin

Respect the Trend

  
  Education
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One of my favorite trading tales involves a very wise, veteran trader who, when asked his thoughts on the market, would simply respond by saying “It’s a bull market,” or “It’s a bear market.” Younger traders simply seeking out a hot tip from the seasoned pro would often leave discouraged – or even annoyed, believing they were being fed a line. JL himself didn’t understand until years later the wisdom that was actually being dispensed with those words: The veteran was simply relaying the path of least resistance, or the trend for the general market, and therefore giving the trader an incredible edge in determining one of the many variables that makes up stock trading.

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Traders should equate the general market to that of a big river with individuals stocks as floating logs. If ones objective was to ride in the general direction of the current, they would not stand on the bank looking for a log that was bucking that trend? Furthermore, even if they found one that temporarily headed in the wrong direction, more than likely it would only be a matter of time before the log reversed course and also headed in the way of all the other logs. (more…)

Learn from Turtle Trading

  
  Education
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“Good judgment comes from experience, and experience comes from bad judgment.” Barry Le Platner

All beginning traders lack one key ingredient for success: experience.  Experience is simply exposure to a particular activity over an extended period of time.  Good judgment is a by-product of experience and is necessary for success in all areas of life, from driving, cooking, golf, to surgery, etc, as well as, you guessed it, stock and options trading.  We can sum it up as follows:

EXPERIENCE = TIME + SPECIFIC ACTIVITY = GOOD JUDGMENT

Unfortunately, very few beginning traders have enough “education” money to succeed at trading because good judgment requires that a person remain focused on a specific activity long enough to draw sound conclusions.  In other words, good judgment is based on trust in the specific activity without doubting its overall effectiveness.  (more…)

TRADE WHAT IS NOT WHAT YOU THINK SHOULD BE

  
Analysis, Education
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tradewhatis

Trade what is… for in doing so your trading is based on fact, substance and reality.  It provides clarity, confidence, manageability, and useful feedback for consistent success where appreciation for winning, and respect for losing, keeps you in the game.

Do not trade what you think should be….for in doing so your trading is based on egotism, a false sense of foresight, the desire for validation and approval, and the “win at all cost” mentality, which  leads to confusion, anxiety, anger, and despair…not to mention the inability to trade another day.

Bernard Baruch's Ten Rules.

  
  Education
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   1. Don’t speculate unless you can make it a full-time job. 

2. Beware of barbers, beauticians, waiters, of anyone, bringing gifts of ‘insider’ information or ‘tips.’ 

3. Before you buy a security, find out everything you can about the company, its management and competitors, its earnings and possibilities for growth. 

4. Don’t try to buy at the bottom and sell at the top. This can’t be done – except by liars. 

5. Learn how to take your losses quickly and cleanly. Don’t expect to be right all the time. If you have made a mistake, cut your losses as quickly as possible.

 6. Don’t buy too many different securities. Better have only a few investments which can be watched.

7. Make a periodic reappraisal of all your investments to see whether changing developments have altered their prospects.

 

8. Study your tax position to know when you can sell to greatest advantage. 

9. Always keep a good part of your capital in a cash reserve. 

10. Don’t try to be a jack of all investments. Stick to the field you know best. 

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