《How_To_Trade_In_Stocks.》.doc

HOW TO TRADE IN STOCKS The Livermore Formula for Combining Time Element and Price BY JESSE L. LIVERMORE DUELL, SLOAN PEARCE NEW YORK COPYRIGHT, 1940, BY JESSE L. LIVERMORE All rights reserved, including the right to reproduce this book or portions thereof in any form. first edition P R IN T E D IN THE UNITED STATES OF AMERICA BY Q U I N N B O D E N C O M P A N Y , INC., RAHWAY, N, J. TO NINA PREFACE HE career of Jesse L. Livermore is a bright patch in the pattern of speculation. He has been in the public eye as a stock-market factor almost continuously since as a youth he flashed like a comet across the speculative skies and became known as the millionaire Boy Plunger. He has indeed been a plunger, and on rare occasions the magnitude of his operations caused The Street to blink in wonderment. Yet blind chance never entered into his market sallies. Each move was touched with singular genius, buttressed by endless research and the dogged patience of Gri-selda. For forty years Jesse Livermore has studied world and domestic economic conditions with almost fanatic intensity. In the same four decades he has T PREFACE studied, talked, dreamed, lived with, and traded in speculative markets. His world has been the movement of prices; his science the correct anticipation of such movements. It has been my privilege to know personally some of the great speculators of our times and to observe at close range their fascinating activities. For intellectual scope and for natural aptitude I regard Jesse Livermore as the greatest speculator and market analyst since the turn of the century. In one of my books I made the statement that he could be shorn of every dollar, given a small brokerage credit, locked in a room with tickers, and in the course of a few active market months he could emerge with a new fortune. Such is the mark of his genius. He created his first sensation when he was fifteen years old. His mother was the party most surprised, for he dumped into her lap a thousand