by some Danish guy that basically says what Flavia preaches. The book is entitled 'The user illusion' and may appeal to those that prefer some science instead of psychology. Well, the point of Flavia basically is this: you learn trading by immersion (or practice), so what else is new here?
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an alternative browser.
You should upgrade or use an alternative browser.
How George Soros knows what he knows
- Thread starter chessman
- Start date
You just forgot that other times he lost also a lot. Just read his full biography. And he is trading for the Big European Families don't forget so he has power that you just don't have. It is not the same scale of trading at all so comparisons with him is rather useless. He has rather an investor type approach than a market timer approach for example he loves adding to losing position because he has the fuel to do so. And he doesn't trade his own money for most part but the money of others.
Nevertheless he is one of those rare traders that I like because he has a great knowledge of market - and I really recommand his books - and he repeats that one day this market is crazy and will go into the wall with a cataclismic consequence for the whole world but nobody want to hear him: people want only hear him for fairy tales.
Nevertheless he is one of those rare traders that I like because he has a great knowledge of market - and I really recommand his books - and he repeats that one day this market is crazy and will go into the wall with a cataclismic consequence for the whole world but nobody want to hear him: people want only hear him for fairy tales.
No it is the path that count because on the path there is the ruin probability haha ! That is THE game and hedge funds only sink because of that and Soros Fund is no exception. Long term funds cannot be statistically be proven to be safe because the sample is too small.
Quote from wally_:
It's the net result that counts, don't you think so?
Quote from harrytrader:
No it is the path that count because on the path there is the ruin probability haha ! That is THE game and hedge funds only sink because of that and Soros Fund is no exception.
No... either you are succcessfull or not... everything else is just rethoric... or correct my spelling...
But isn't that like saying that drawdowns don't count or aren't anything to matter with so long as the trader comes out eventually successful, even though they can stop you cold?Quote from wally_:
No... either you are succcessfull or not... everything else is just rethoric... or correct my spelling...
First off, George Soros had been a pretty successful hedge-fund manager with his QUANTUM FUND back in the late 80's before he made a bundle on the devaluation of the British Pound.
In fact, he was so successful making "macro" bets that he charged a then undheard of management fee of 4%!!!
As for his British Pound "trade" . . .
It was a total "lay-up" because the British economy was already in a recession and trying to keep the pound strong with interest rates as high as they were was plain insanity. Had the British not allowed the pound to "devalue" the entire county would have gone into a DEPRESSION. Hence, Soros leveraged up a position that was very low risk and textbook Econ 101A.
As for George Soros himself as a trader, he too has his faults and "mistakes" just like the rest of us. Just take a look at the Crash of 1987 and how he tried so "naively" to unload over 5,000 S&P Futures on the opening on the Thursday after Black Monday. . . He got nervous about how the dollar was trading overseas on Wednesday night and decided to unload his S&P futures position ( his fund was exempt from position limits ) and he had no idea that the markets were "thin" and that the locals would never stand in front of a "freight-train".
Instead, they "front-ran" his 5,000 lot sell order into OBLIVION and the S&P traded all the way down to an incredible 45 point discount and a "print" low that was insanely out-of-whack" with the cash markets. His sell order MARKED THE DEAD ASS LOW.
So much for having a mechanical "working" knowledge of the financial markets.
In fact, he was so successful making "macro" bets that he charged a then undheard of management fee of 4%!!!
As for his British Pound "trade" . . .
It was a total "lay-up" because the British economy was already in a recession and trying to keep the pound strong with interest rates as high as they were was plain insanity. Had the British not allowed the pound to "devalue" the entire county would have gone into a DEPRESSION. Hence, Soros leveraged up a position that was very low risk and textbook Econ 101A.
As for George Soros himself as a trader, he too has his faults and "mistakes" just like the rest of us. Just take a look at the Crash of 1987 and how he tried so "naively" to unload over 5,000 S&P Futures on the opening on the Thursday after Black Monday. . . He got nervous about how the dollar was trading overseas on Wednesday night and decided to unload his S&P futures position ( his fund was exempt from position limits ) and he had no idea that the markets were "thin" and that the locals would never stand in front of a "freight-train".
Instead, they "front-ran" his 5,000 lot sell order into OBLIVION and the S&P traded all the way down to an incredible 45 point discount and a "print" low that was insanely out-of-whack" with the cash markets. His sell order MARKED THE DEAD ASS LOW.
So much for having a mechanical "working" knowledge of the financial markets.
For those that are interested, a new article detailing Dr Cymbalista's work now appears in the online version of SFO magazine.
I have read both the Soros paper and this article, and although not nearly as detailed, the article does a good job of describing marketfocusing in a practical framework. It is said to be one in a series of 3.
http://www.sfomag.com/articlesdetail.asp?IssueMonthID=July&YearID=2003&ID=24
I have read both the Soros paper and this article, and although not nearly as detailed, the article does a good job of describing marketfocusing in a practical framework. It is said to be one in a series of 3.
http://www.sfomag.com/articlesdetail.asp?IssueMonthID=July&YearID=2003&ID=24