6 Best Ideas from 6 Dead Traders

6 Best Ideas from 6 Dead Traders

Trading is as ancient as civilization because there was a barter trading system initially. In fact, in the Stone Age as well flint was traded for Obsidian. At the same time there was the flourishing trade along the Silk route, which was meant for the transport of expensive silk from China and India. Almost all the tactics, ideas and strategies being used by the traders today have historic origins.

Why you should learn trading history?

It is good for learning timeless concepts like:

  • The forgotten market fundamentals
  • Understanding the market psyche which never changes
  • The mistakes to be avoided

#1 Knowing more makes you feel less confident – Charles Dow

Charles Dow has a stock index named after him and it is necessary for every trader to know about him and his ideas. Dow (1851-1902) was a journalist in America and was the founder of the Wall Street Journal.

According to a quote from this man regarding the experienced Wall Street Operators he said –

The more they actually know, the less confident they become

He said this because, he likes every person knowledgeable about the markets had a respect for uncertainty

#2 Patience and Profits – William Delbert Gann

Many trading tools were invented by William Delbert Gann (1878 – 1955) and these tools ranged from the esoteric to the useful. Gann is known for formulating daring and innovative techniques which are controversial even today. He said;

When you make a trade you must have the patience to wait for opportunities to get out right or to make the profit

#3 You just cannot catch everything – Jesse Livermore

Jesse Livermore was a daring speculator in the first half of the 1900s, who made a fortune worth what would amount to $100 billion today. Although he was successful, he always remained practical and is known to have said:

Nobody can catch all the fluctuations

If you keep this quotation in mind you will find the perfect balance, consistency and focus in the market.

#4 Acceptance, not insistence – Nicolas Darvas

Nicolas Darvas (1920-1977) was a Hungarian economics scholar and is considered to be the most colorful character in the history of trading because before becoming a trader, he was a dancer. He was self taught trader and his knowledge came from reading approximately 200 books on market speculation. He made a fortune with this knowledge and the most important thing he wanted to teach other traders is:

I accepted everything for what it was, not what I wanted it to be

This essentially means that it is impossible to control the market as the forces behind it are powerful.

#5 There is no 100% in trading – Richard Wyckoff

Richard Wyckoff (1873-1934) was a renowned educator along with being a successful trader. He propounded the concept of the Composite Operator which is based on the expression of the market as a single entity. He said:

Success in trading means the excess of profit over losses. If anyone tells you they can be almost invariably successful, put him down as trying to impose on your credulity

#6 Market emotions are critical – Munehisa Homma

Munehisa Homma (1724-1803) was the most successful grain trader of his times. There is an intriguing similarity between his concepts and the techniques of today. He also wrote the first book on market psychology. He is known to have said:

Studying the emotions of the market could help in predicting the prices

There are many other historical names in trading that could teach you a thing or two and a research online will be the best way to learn from them.

Read more about Trader Mistakes, Trading Types, Rules for TradingIntraday Trading Techniques

Thank You for Read this Article,

Get Free Quote on Online Technical Analysis Training

Pay Now and Join Our Courses