On The Importance Of Cutting Losses:
Whenever you buy or sell anymarket, you have to ask yourself, At what point will the market prove that Imwrong? Once you establish that point, nothing should stop you from closing outwhen the market hits it. This is the basis for the rule: cut your losses short.Violating this rule is the single
On The Importance Of Knowing Right From Wrong:
There is at least one thing that all good tape readers knew that still holds true today. When you make a trading decision, you should feel absolutely confident that you are right, but you must also recognize that the market can prove you wrong. In other words, you are absolutely right unti
On The Importance Of Limiting Losses:
Preservation of capital is the cornerstone of my business philosophy. This means that, in considering any potential market involvement, risk is my prime concern. Before asking What potential profit can I realize?, I first ask, What potential loss can I suffer? — Victor Sperandeo,