Investing and Trading

The safest way to double your money is to fold it over and put it in your pocket.
Kin Hubbard

When a falling stock becomes a screaming buy because it cannot conceivably drop further, try to buy it 30 percent lower.
Al Rizzo

Control your ego...
Some people in the name of spontaneity refuse to discipline their drives, urges, desires, wishes, and whims. What may seem like intuition is actually reactive or impulsive behavior. When ego is not disciplined and under control, it will frequently generate impulsive thoughts to get you to undertake an action because it desires action.
John Hayden

The real reason so few succeed in trading is because the traits required for success are almost exclusively psychological.
Gary Smith

Buy at the sound of cannons. Sell at the sound of trumpets.
Nathan Rothschild

While enthusiasm may be necessary for great accomplishment elsewhere, in Wall Street, it almost invariably leads to disaster.
Benjamin Graham

BE YOURSELF
Virtually every successful trader I know ultimately ended up with a trading style suited to his personality.
Randy McKay

You can't control what the market does, but you can control your reaction to the market. I examine what I do all the time. That's what trading is all about.
Steve Cohen

The majority of people trade worse than a purely random trader would.
William Eckhardt

When you are confused, it is best to do nothing. You are just going for a random walk and that is when you are liable to get mugged, because you don’t have staying power. You are likely to be faked out by some stray fluctuations because you lack the courage of your convictions. As my friend, Victor Niederhoffer says, the market destroys the weak – that is, investors who don’t have well founded convictions. You need some convictions to avoid getting faked out, but having the courage of your convictions could get you wiped out if your convictions are false. So, I prefer to take a stand only when I have well-founded convictions.
George Soros

You never need to chase a trade. The market has plenty of opportunities. The money runs out before the opportunities do.
John Saleeby

It's important to distinguish between respect for the market and fear of the market. While it's essential to respect the market to assure preservation of capital, you can't win if you're fearful of losing. Fear will keep you from making correct decisions.
Howard Seidler

Uncertainty is your friend
You know the prose: "Maintain buying reserves until current uncertainties are resolved" etc. Before reaching for that clutch, face up to two unpleasant facts: the future is never clear; you pay a very high price in the stock market for a cheery consensus. Uncertainty actually is the friend of the buyer of long term values.
Warren Buffett

When do you sell?
I made my money by selling too soon.
Bernard Baruch


What Success Can Do:
Success actually can stimulate fears about failing and about the impossibility of success. These increased anxiety levels may result in selfdestructive behavior and a succession of losing trades that bring the trader back to the starting point.
Ari Kiev

Fearful, Greedy!
We simply attempt to be fearful when others are greedy, and to be greedy only when others are fearful.
Warren Buffett


If past history was all there was to the game, the richest people would be librarians.
Warren Buffett