David Ryan
That is what a lot of people think. They say, “It’s too late to buy the stock; the earnings are already on the table.” However, in analyzing hundreds of the biggest winners, we found that, in many cases, the earnings had been on the table for a while.
William O’Neil
The stock market is neither efficient nor random. It is not efficient because there are too many poorly conceived opinions; it is not random because strong investor emotions can create trends.
William O’Neil
Stocks are like anything else. You can’t buy the best quality at the cheapest price!
William O’Neil
Diversification is a hedge for ignorance. I think you are much better off owning a few stocks and knowing a great deal about them.
William O’Neil
Second, you have to realize that you will never sell the exact top. Therefore, it is ridiculous to kick yourself when a stock goes higher after you sell.
William O’Neil
If you aren’t willing to cut your losses short, then you probably should not buy stocks. Would you drive your car without brakes?
William O’Neil
In our seminars we find that 98 percent of investors are unwilling to buy a stock at a new high. Yet, it is one of the great paradoxes of the stock market that what seems too high usually goes higher and what seems to low usually goes lower.
Michael Steinhardt
Good trading is a peculiar balance between the conviction to follow your ideas and the flexibility to recognize when you have made a mistake. You need to believe in something, but at the same time, you are going to be wrong a considerable number of times. The balance between confidence and humility is best learned through extensive experience and mistakes. There should be a respect for the other person on the other side of the trade. Always ask yourself: Why does he want to sell? What does he know that I don’t? Finally, you have to be intellectually honest with yourself and others. In my judgement all great traders are seekers of truth.
Michael Steinhardt
Whoever sold Texaco at $52 had a perception that was dramatically different from mine. It is incumbent on me to find out what his perception was.
Michael Steinhardt
If your problem is so great that you need to hedge it, why not address the problem directly rather than taking on a totally separate position?
