Unknown Market Wizards: The best traders you've never heard of
places his stops to assure that he never takes a large loss on any trade,
Jack D. Schwager • Unknown Market Wizards: The best traders you've never heard of
Edwards and Magee book [Technical Analysis of Stock Trends].
Jack D. Schwager • Unknown Market Wizards: The best traders you've never heard of
What is the weekend rule I’ve seen you refer to? The weekend rule goes back to Richard Donchian in the 1970s and basically says that if the market closes in new high or low ground on a Friday, then it is likely to extend that move on Monday and early Tuesday. The significance for me is that if a market breaks out on a Friday, then I have a complete
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Novice traders should caution against the securities-based bias of trading only from the long side. In futures trading, there is no distinction between going short and going long.24 Since prices can go down as well as up, the trader who takes only long positions will eliminate approximately half the potential trading opportunities. Also, it should
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everyone is betting on one side, then the point spread will have to move, and it will probably move too far. In fact, I have a football betting system that looks at 30 guys who make picks versus the spread. When 25 or more of them pick the same team, which happens only about six times a year, the other team will win 80% of the time. Now, is that be
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Cut your trading size, substantially if necessary, until you are once again in sync with the markets.
Jack D. Schwager • Unknown Market Wizards: The best traders you've never heard of
Happiness is believing that the future will be better than the past.
Jack D. Schwager • Unknown Market Wizards: The best traders you've never heard of
For the first two or three days after I put on a trade, I am alert for an opportunity to tighten my stop, even intraday. But with that one exception, I don’t trade intraday. If I sit and watch the computer screen all day, I will sabotage myself.
Jack D. Schwager • Unknown Market Wizards: The best traders you've never heard of
that now because you have money.” OK, that’s true, but there have been quite a few times when I was deadass broke. When I started managing money for Helmut, I had two kids, and we lived in a two-bedroom apartment—and my office was in one of the bedrooms! I couldn’t even afford a desk; I used one of those IKEA TV stands. My kids were little then.