The financial markets have come a long way in terms of technology, transparency, accuracy and speed. But there are few basics of the market that never changes, be it thoughts by the great Benjamin Graham, Warren Buffet, Charlie Munger or Peter Lynch.
Here are some thoughts by Jesse Livermore written in 1940 and they apply in today’s market scenario as well:-
- Nothing new ever occurs in the business of speculating or investing in securities and commodities
- Money cannot consistently be made trading every day or every week during the year
Continue reading “10 More Trading rules”
Life is uncertain and volatility could be best understood by one’s life, sometimes you are on peak sometimes low. Loves, hatred, emotions, excitements, are the various factors that define the volatility of life.
Moving down to markets Volatility is the inherent behaviour of the markets that’s the reason trader makes and loses money.
The markets are volatile so does the life. It’s important to curb the volatility and see the things from the long-term horizon. The high tides do not last forever so does the calm sea-shore.
The nastiest thing I’ve ever told anyone (a finance fellow angry with me): “When you have absolute intellectual and more disrespect for someone, the only real compliment you can possible get from his in making him angry”
Continue reading “Love, Life, Market and Volatility”
First off, I have no idea what is the going to happen on Monday when the market opens. The market may open ugly. Some sort of corrective action in the market should not come as a huge shock.
Every valid investment strategy goes through periods of under-performance (relative), or draw-downs (absolute). The question is how you deal with it. One key characteristic of frustrated investors is that they jump from strategy to strategy. The first sign of weakness forces these weak hands to jump ship at just the wrong time. In short, following a strategy is easier said than done.
Ben Carlson at A Wealth of Common Sense also notes how our fear of losses, or loss aversion, affects our ability to invest successfully. He writes:
Crashes, corrections, draw-downs, losses, system resets or whatever you want to call them are a feature of the financial markets, not a sign that they are broken. These things have to happen every once in a while for the system to function Continue reading “Bear Market and the Valentine’s Day”
First time I heard about paraprosdokians, I liked them. Paraprosdokians are figures of speech in which the latter part of a sentence or phrase is surprising or unexpected and is frequently humorous. (Winston Churchill loved them).
- Where there’s a will, I want to be in it
The last thing I want to do is hurt you … but it’s still on my list.
Since light travels faster than sound, some people appear bright until you hear them speak.
If I agreed with you, we’d both be wrong.
We never really grow up — we only learn how to act in public.
War does not determine who is right, only who is left.
Knowledge is knowing a tomato is a fruit. Wisdom is not putting it in a fruit salad.
To steal ideas from one person is plagiarism. To steal from many is research. Continue reading “Some hilarious Paraprosdokians”
It’s a Lazy Sunday sharing some of the random thoughts, observation that will come to your mind if you are in the Corporate financial jungle, or may be your boss have shared with you..if not you would love to read them for once :-
- Drinking is bad, but feelings are worse.
- What most people would call the greatest night of their lives, I call just another Friday.
- I thought there’d be worse nicknames to have for a girlfriend, but she didn’t find “The Warden” funny at all.
- Some of the best moments in life are the ones you can’t tell anyone about.
- A Blackberry and a 6-figure pay check is the crutch that single chicks call a career. That facade crumbles at 30.
- Haircuts are the ultimate economic indicator. In bad times, it’s every 8 weeks. In good, it’s every 6. I go every 3 weeks. 🙂 Continue reading “Random Thoughts if you belong to Corporate World”