Trading Risks Quotes

My experience with novice traders is that they trade three to five times too big. They are taking 5 to 10 percent risks on a trade when they should be taking 1 to 2 percent risks. The emotional burden of trading is substantial; on any given day, I could lose millions of dollars. If you personalize these losses, you can’t trade.

Although the Internet makes it seem as if you have a direct connection to the securities market, you don't. Lines may clog; systems may break; orders may back-up.

I believe that currency trading should not be a business at all.

First of all, never play macho man with the market. Second, never overtrade.

Preventing liquidation of an unbalanced market will leave you in tears.

There is no training, classroom or otherwise, that can prepare for trading the last third of a move, whether it's the end of a bull market or the end of a bear market.

I think average investors should not trade a lot. The evidence is overpowering. The more you trade, the less you earn.

We concluded that you cannot rely on delta hedging alone. It sounds simplistic to say that now, but back then, this was the sort of thing people were only just beginning to realize.

My advice to most people is don't short stocks. It's a very, very difficult business. And you can really get clobbered.