понедельник, 9 июля 2012 г.

Discussion on TSD: Some basic Soros' trading principles:

Some people spend all day talking to their brokers. Soros “prefers to talk to a select few people who can be really helpful ….” Then you need to think and read and reflect. 

- To be successful, you need leisure. You need time hanging heavily on your hands [to talk to people, read, and think].
- If you have an investment thesis you like, run it by people who support the other side of the argument. See if you still like the thesis afterward.
- Basically, the way Soros operates is to have a thesis and then he tests it in the market. If the market goes against his position and he feels uneasy (e.g. gets a backache), he cuts his losses.
- What he took was basic information from various sources and kind of mulched it in his mind. Then he would come up with a thesis that most of the time was valid.
- When Soros believed he was right … no investment position was too large. Holding back was for wimps. The worst error in Soros’ book was not being too bold.
- The key to investing is knowing how to survive. That means at times playing conservatively, cutting losses when necessary and keeping a large portion of one’s portfolio out of play.
- If you are doing poorly, retrench. Don’t try to recoup. And when you start again, start small.
- To be in the game, you have to be willing to endure the pain.
- Perhaps Soros’ most distinctive feature, the trait that explained his investment talents the best, was his ability to gain membership in a very ‘exclusive ‘ club that included the leadership of the international community…. Such encounters clearly gave Soros an advantage over other investors.
- Invest first and then investigate … form a hypothesis, take a toehold position to test the hypothesis, and wait for the market to prove you are right or wrong.

read more here:
http://www.forex-tsd.com/general-discussion/32718-what-forex-2.html

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