nikoschopen
2,824 posts
msg #41622
- Ignore nikoschopen |
2/28/2006 3:15:34 AM
Suggestions to Speculators: Be a Cynic when Reading the Tape
(An excerpt from Humphrey B Neill's "Tape Reading & Market Tactics" (1931))
We must be cynics when reading the tape. I do not mean that we should be pessimists, because we must always have open minds without preconceived notions. But an inveterate bull, or bear, cannot hope to "trade" successfully. A successful trader is by nature a cynic, for he doubts all before he believes anything.
Realize that you are playing the most calculating game in the world. The whole idea is to outsmart the other fellow. Many a false move is engineered to fool the public. So be a hard-boiled cynic and believe nothing but what the action of the market tells you. If you can determine the supply and demand which exists for stocks, you need not know anything else.
If you had 10,000 shares of some stock to sell, you would adapt tactics, maneuver false moves, throw out information, and act in a manner to indicate that you wanted to buy, rather than sell—would you not? Place yourself in the other fellow's shoe. Think what you would do if you were in his position. If you are contemplating a purchase, stop to think whether, if you act "contrary" to your inclination, you would not be doing the wiser thing, remembering that the public is usually wrong.
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