"A stock price rises not because of good news from the company, but because the brightening outlook for the stock means investors anticipate it will rise further, and so they buy."
Benoit Mandelbrot- The Misbehavior of Markets
America was the world's biggest creditor when Ike was president. By Ronald Reagan's second term, about 15 years into the pax dollarium era, the nation slipped to net-debtor status. In the following 15 years, it broke all records- becoming the world's biggest debtor and the greatest debtor of all time.
Bill Bonner Empire of Debt 2005
Pg. 71 Speaking of itself the Fed released this statement: “The Federal Reserve Board… will…provide liquidity as necessary to promote the orderly functioning of the financial system.”
William D. Cohan House of Cards: A Tale of hubris and Wretched Excess on Wall Street.
“Graham was not scalable” Warren Buffett- Annual Shareholder Meeting (not sure which year)
"It's better to be roughly right, than precisely wrong."
Charlie Munger - Caltech Interview 2008
The 19th century confidence man was a creature that many Victorians considered to be uniquely American. Not a thief in the traditional sense,
he seduced his prey with silky words and fantastical promises until his victims willingly gave him their trust, their money, and, quite literally,
their confidence.
J.M. Staniforth - A Confidence Trick 1898
"Australia has provided about double the returns of the US in the past 100 years."
David Nadel Wealthtrack 2018
“ a bailout of Bear Sterns…absolutely necessary”. “If Bear Sterns had gone under” it “would have forced all securities firms… to the financial equivalent of mutually assured destruction.” “The Fed had no choice but to bail out Bear Sterns. ”
William D. Cohan House of Cards: A Tale of hubris and Wretched Excess on Wall Street.
" There are known knowns. These are the things we know that we know. There are known unknowns. That is to say, there are things that we know we don’t know. But there are also unknown unknowns. These are things we don’t know we don’t know ". This is applicable to the dynamic… environment of trading.
Hamzei Fari (Chapter written by Jeff DeGraaf).
Master Traders: Strategies for Superior Returns from Today’s Top Traders Hoboken,
New Jersey: John Wiley & Sons, Inc.
"We can only see the future fuzzily"
EdThorp Interview at 25IQ.com
"It would be simple to run down the list of hundreds of stocks which, in my time, have been considered gilt-edged investments, and which today are worth little or nothing. Thus, great investments tumble, and with them the fortunes of so-called conservative investors in the continuous distribution of wealth."
Jesse Livermore. How to trade in stocks. 1936
"I am always just a day or two early in every position I enter or exit. How does the market always know to make the real move after I am forced out?" The Education of a Speculator Victor Neiderhoffer
“ If (trading or investment) advantage is coming from reading the newspaper, watching the television, or any other easily accessible source… your advantage is likely to prove illusory. ”
Hamzei Fari (Chapter written by Jeff DeGraaf).
Master Traders: Strategies for Superior Returns from Today’s Top Traders
"As prices rise, people invent explanations for why they have gone up and why they will continue." Bill Bonner Empire of Debt
“A company is only as solvent as the perception of its solvency.”
William D. Cohan House of Cards: A Tale of hubris and Wretched Excess on Wall Street.
“Of the five hundred largest US companies in 1957, only seventy-four were still part of that select group… 40 years later. ”
Nassim Taleb
The Black Swan
"This artificially low rate gives the illusion that there is more money available than there really is. Hardly anyone ever complains. Consumers feel they have more money to spend than they really have. Producers sense a demand that really isn't there. ...only much later does the deception become a problem." Bill Bonner Empire of Debt
"I need to know what's happening in the markets, but it's dysfunctional to be tied to the screen." The Education of a Speculator Victor Neiderhoffer
"Dice fall by chance. Roulette wheels spin by chance. But IBM shares (and all other market components), the euro-dollar exchange rate, and wheat prices do not rise and fall by the mathematical rules of chance. Indeed, they do not--but they can be described as if they do. And that subtle distinction, of thinking about price as if they were governed by chance, has been the dominant... notion of financial theory for the past one hundred years." Benoit Mandelbrot- The (Mis) Behavior of Markets
“ by 1929, much of the money that was invested in the stock market did not actually exist. ”
(2000, http://us.history.wisc.edu/hist102/lectures/textonly/lecture18.html),
Stanley K. Schultz and William P. Tishler of the University of Wisconsin
“The Crash and the Great Depression”
"...prices have a way of moving to levels that are DESIGNED to scare traders out of a good position..." The Education of a Speculator Victor Neiderhoffer
"Trading from the middle is the surest ticket to disaster." The Education of a Speculator Victor Neiderhoffer
“…you sign on to whatever the present group thinks, and if they think the world is flat, you better think the world is flat too, and your students better answer the world is flat on exams”
Warren Buffett-Annual Shareholder Meeting (not sure which year).
"During the 10 years I traded for George Soros , I never heard him speak once about a winning trade. To hear him talk, you'd think he had nothing but losers. Conversely, listening to the biggest losers, you'd think they had nothing but winners." The Education of a Speculator Victor Neiderhoffer
M.A.V. Tool™
(Measuring Actual Volatility Tool)
Capturing the nature of the market©
M.A.V. Tool™
(Measuring Actual Volatility Tool)
Capturing the nature of the market©
