Lightyear FX: Financial Analyst, Financial Media Personality, Amateur Research Trading Technical Analysis. Stay on top of the latest cutting-edge technology and share your deepest industry insights. The following is from Just2Trade.
Charles Henry Do 8 Rules of Trading:
1. He left a rich legacy on Wall Street and on the United States, namely the Dow Jones Index and the Wall Street Journal.
2. Charles Dow, claiming that his theory is not used to predict the stock market, or even to guide investors, but rather a barometer that reflects the overall trend of the market.
3. The greatest thing about the "Dow Theory" is its precious philosophical ideas, which are the essence of it all.
4. Dow theory asserts that stocks change in the same direction as the market trend to reflect market trends and conditions.
5. For one year or more, most stocks will rise or fall with the market, generally more than 20%.
6. In a direction that is completely opposite to the fundamental trend, lasting more than three weeks and is one-third to two-thirds of the basic trend.
7. Reflect only short-term changes in stock prices for a duration of no more than six days.
8. 95% of investors in the market use subjective operations, and the vast majority of these 95% of investors belong to the "seven losses" in the "seven losses, two draws and one profit". And I, fortunately, became an objectified trader and investor.
Carl Icahn's 6 Trading Rules:
1. If you want to make true friends on Wall Street, you might as well have a dog!
2, unlike Buffett's investment philosophy and long-term investment methods, Icahn is particularly good at short-term investment, first buying a certain number of shares of the company that he likes through raids, and then seeking to change the company from within as a shareholder or director, and pursuing the maximization of shareholder interests.
3. There are two types of major mistakes in life and business, the first is to act without thinking, and the second is to act completely without action.
4. The consensus is often wrong, if you go with the flow, success will be far away from you, so I buy companies that are not so dazzling and not liked, and it would be better if the whole industry also fell out of favor with the public.
5. The most competitive guy I know, he's especially good at intimidating people and crossing their lines.
6. He will only invest in companies that understand the business model himself and predict that cryptocurrencies will not have a perfect ending.
Ralph Wanger's 14 Trading Rules:
1. Most mutual fund 'copywriters' write articles that are boring and wrong, and I'd rather have errors in my own report than be vivid.
2. I'm a small man, so I like to invest in small companies. The guy next to me is a big guy, and he likes big stocks.
3. Benefits and risks are always going hand in hand.
3. The yield of stocks of low-market capitalization companies exceeds the market average, even after adjusting for risk.
4. Wanger buys shares of small companies that do not fully realize their economic value, and then waits for these companies to continue to grow until they fully realize their economic value before selling.
5. By focusing on investing in small companies, you are more likely to grasp the next trend, and you should be ahead of the trend rather than just being a trend follower.
6. Wanger adopts a "top-down" investment strategy, starting with the more attractive stock sectors in the market and limiting his analysis to the best of these sectors.
7. A stock sector is either worth investing heavily or not worth investing a penny.
8. When looking for trends, you should pay attention to both explicit and implicit news, because as Sherlock Holmes wrote in the detective novel, "a barking dog does not bite, and a dog that bites does not bark."
9. If there is no unfortunate news about elderly people suffering from gas supply shortages in one winter, it means that this year's fuel supply is sufficient, which indicates that the price of fuel is low, so it is good news for airlines, motels and Disneyland.
10. As long as the metaphor is still appropriate, I will continue to hold stocks. However, if the reason for holding a stock is not sufficient, I will throw it.
11. If you are a zebra living in a group, the key decision you need to make is where to stand in connection with other zebras.
12. When you feel safe, it is best to be outside the herd, because the grass there is fresh; the zebras inside can only see the grass that has been leftover or trampled, and the bold zebras eat much better outside.
On the other hand, when the lion came, the zebra outside became the lion's meal, and the skinny zebra inside, although not eating well, survived.
13. Always be in a group. As long as he always buys popular stocks, he can't make mistakes.
14. As long as everyone is the same, even if they fall together, no matter what happens to Johnson, for me, there is no need to make a fuss.