Reminiscing About Reminiscence

Even though I am about ready to pull all my remaining long holds and mutual fund purchases, the compulsion to trade on a daily basis is still strong. Looking at the profits from seven simple trades of the CMI last year keeps me focused on the goal of making money...not the thrill of daily trading. Waiting for the next buy signal can test the patience but remembering Jesse Livermore's words puts it all in perspective...

The market does not beat them. They beat themselves, because though they have brains they cannot sit tight. Old Turkey was dead right in doing and saying what he did. He had not only the courage of his convictions but also the intelligence and patience to sit tight.

I'm re-reading Wall Street, A History by Charles Geisst, but no book quite compares to Reminiscences of a Stock Operator by Edwin Lefevre. Although this fictionalized biography of Jesse Livermore might make the reader question whether or not Jesse was a great trader, the lessons and quotes from this book are apparently timeless, or at least still very useful to those smart enough to realize that human nature does not change.