Jesse Livermore: World′s Greatest Stock Trader

This is a must read even for non traders . Many insightful lessons

very detailed and well written

Bonne surprise que cet ouvrage écrit il y a une dizaine d'année et qui relate de façon biographique la vie de Jesse Livermore, grandeur et décadence d'un génie de la finance. Un must read pour tout ceux qui veulent savoir comment suivre les tendances et couper rapidement ses pertes.

If you have ever read the Reminiscences of a stock operator by Edwin Lefevre and liked it then this book is a must read. It is very hard to put down, it reads like a novel, stock trading manual, Greek tragedy, and wisdom teachings all in one. I had my doubts, but after reading this book I believe that Jesse Livermore was the greatest stock trader the world has ever seen. At the age of fourteen he walked into a "bucket shop" and got a job posting stock prices. The next year in 1892 at fifteen he makes his first successful stock trade. He was a millionaire in his early 20's and by 1907, J.P. Morgan had to personally ask him to stop selling stocks short before he did serious damage to the stock market during a crash. His greatest achievement of all was walking away from the great crash of '29 with $100 million in profit from selling stocks short when everyone else was going long. The sad part of this book was how he lost everything several times and was bankrupt, the final one happening late in his life. He had a problem with beautiful women which lead to several divorces and ruin. He committed suicide in 1940 and his son Jesse Jr. also committed suicide 35 years later.His story was really an eye opener to the pitfalls of being wealthy and lacking self control in your personal life and child rearing. This book is packed with wisdom and stock trading tactics of the master himself. Get out a highlighter and prepare to mark key learning's as you go because there are many. Here are some:Cut your losses quickly.Be sure to confirm your judgement before you take your full position.Let your profits ride if there is no good reason to close the position.The action is with the leading stocks, which change with every new market.Keep the number of stocks you follow limited in order to focus.New all time highs are to be bought on breakouts.Cheap stocks often appear to be bargains after a large drop.They often continue to fall, most have little potential to rise in price. Leave them alone.Use pivotal points to identify changes in trend and confirmations in trends.DON'T FIGHT THE TAPE!This is my #1 recommendations for stock trading books.Also read all of Dr. Alexander Elder's books for basics in money management and technical analysis.

I Enjoyed Livermore's Lessons/Strategies explained in this book.I only read the clearly financial trading strategy sections, namely the approximately 50 pages in: Chapter 7 "Market Theory", and Chapter 11 "When To Hold & When To Fold".I found this material to be very helpful and well explained.By contrast, I have read Livermore's book: How To Trade Stocks, but I did not like that very much even though it came directly from Livermore himself (albeit only months before he committed suicide).