By Gibbons Burke January 2000 Abstract / Introduction: Money management is like sex: Everyone does it, one way or another, but not many like to talk about it and some do it better than others. But there’s a big difference: Sex sites on the Web proliferate, while sites devoted to […]
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Every day, traders must make decisions: What to trade. When to enter. How large a position to take. When to exit. Whether the system is healthy. Discretionary traders acknowledge the subjectivity of their decisions and draw on experience. Systematic traders use objective functions designed to identify important decision criteria and quantify […]
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This article reproduced with permission from Matt Blackman The hardest but also most important lesson to learn in trading is how to handle losses gracefully. Most traders will inevitably encounter a string of losses at some point, so those who can’t lose without being thrown off their game won’t survive […]
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This article reproduced with permission from Brett Steenbarger When people hear that I am an active trader and a professional psychologist, they naturally want to hear about techniques for mastering emotions in trading. That is an important topic to be sure, and later in this article I will even have […]
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… from the greatest trader ever! In the early part of the 20th century, Jesse Livermore was the most successful (and most feared) stock trader on Wall Street. He called the stock market crash of 1907 and once made $3 million in a single day. In 1929, Livermore went short […]
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