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JOHN KENNETH GALBRAITH ON STOCK MARKET MEMORY LOSS

Where else but in the markets can short term memory loss be both beneficial and profitable?

John Kenneth Galbraith, an economist, says the financial markets are characterized by…

“…extreme brevity of the financial memory.  In consequence, financial disaster is quickly forgotten.  In further consequence, when the same or closely similar circumstances occur again, SOMETIMES IN A FEW YEARS, they are hailed by a new, often youthful, and always extremely self-confident generation as a brilliantly innovative discovery in the financial and larger economic world.  There can be few fields of human endeavor in which history counts for so little as in the world of finance.” [emphasis mine].

JOHN KENNETH GALBRAITH ON STOCK MARKET MEMORY LOSS

Where else but in the markets can short term memory loss be both beneficial and profitable?

John Kenneth Galbraith, an economist, says the financial markets are characterized by…

“…extreme brevity of the financial memory.  In consequence, financial disaster is quickly forgotten.  In further consequence, when the same or closely similar circumstances occur again, SOMETIMES IN A FEW YEARS, they are hailed by a new, often youthful, and always extremely self-confident generation as a brilliantly innovative discovery in the financial and larger economic world.  There can be few fields of human endeavor in which history counts for so little as in the world of finance.” [emphasis mine].

Quotes from Dr Alexander Elder's -Trading for a Living.

 Successful trader is a realist.

Unstructured environment of the markets makes it easy to develop fantasies.
Many losers do not know that trading is intellectually fairly simple.
A loser is not undercapitalized, his mind is underdeveloped.
The market is not your mother. It consists of tough men and women who look for ways to take money away from you instead of pouring milk into your mouth.
Trading is the most dangerous human endeavor, short of war.