1. Archive

The wit and wisdom of Wall Street

Each year's Stock Trader's Almanac is filled with pithy quotes offering investment advice from the most successful investors and traders in Wall Street history. Here, for our holiday weekend ruminations, are some of the best words of wisdom that publisher Yale Hirsch has offered in recent editions:

In this game, the market has to keep pitching, but you don't have to swing. You can stand there with the bat on your shoulder for six months until you get a fat pitch.

_ Warren Buffett

Ninety-nine percent of what most people see on television about business is not only irrelevant but possibly damaging.

_ George W. Goodman, aka Adam Smith

It's a buy when the 10-week moving average crosses the 30-week moving average, and the slope of both averages is up.

_ Victor Sperandeo

News on stocks is not important. How the stock reacts to it is important.

_ Michael Burke, Chartcraft

Better to sell too late than too soon in a momentum-driven market, as stocks often go much, much higher. Let your stock hit at least two lower tops and bottoms before you sell.

_ Jordan Kimmel

Beware of inside information . . . all inside information.

_ Jesse Livermore

With enough inside information and a million dollars, you can go broke in a year.

_ Warren Buffett

Markets are constantly in a state of uncertainty and flux, and money is made by discounting the obvious and betting on the unexpected.

_ George Soros

Spend at least as much time researching a stock as you would choosing a refrigerator.

_ Peter Lynch

The first rule is not to lose. The second rule is not to forget the first rule.

_ Warren Buffett

I'm always turned off by an overly optimistic letter from the president in the annual report. If his letter is mildly pessimistic, to me that's a good sign.

_ Philip Carret

The people who sustain the worst losses are usually those who overreach. And it's not necessary: Steady, moderate gains will get you where you want to go.

_ John Train

Most periodicals and trade journals are deadly dull, and indeed full of fluff provided by public relations agents.

_ Jim Rogers

You try to be greedy when others are fearful, and fearful when others are greedy.

_ Warren Buffett

I measure what's going on, and I adapt to it. I try to get my ego out of the way. The market is smarter than I am, so I bend.

_ Martin Zweig

The worst mistake investors make is taking their profits too soon and their losses too long.

_ Michael Price

If you can buy all you want of a new issue, you do not want any; if you cannot obtain any, you want all you can buy.

_ Rod Fadem

There's nothing wrong with cash. It gives you time to think.

_ Robert Prechter Jr.

A bull market tends to bail you out of all your mistakes. Conversely, bear markets make you pay for your mistakes.

_ Richard Russell

Almost any insider purchase is worth investigating for a possible lead to a superior speculation. But very few insider sales justify concern.

_ William Chidester

Your emotions are often a reverse indicator of what you ought to be doing.

_ John F. Hindelong

Buy a stock the way you would buy a house. Understand and like it such that you'd be content to own it in the absence of any market.

_ Warren Buffett

The stock market is that creation of man which humbles him the most.

_ Anonymous