What an irony⦠I just finished last night re-reading one of his bestsellers âHow I made one million dollarsâ¦.last year trading commoditiesâ. I read again once every four five years. I still do not know whether he made it paper trading or real trading. The title of chapter one, page one is EXACTLY HOW I MADE MY MILLION DOLLARS BUT PAGES 1 TO 8 are just generalities.
Nevertheless I owe to this book immensely:
1. over the years I protected the capital by just following religiously his three phase method of managing money: a) the 30% stop rule. It is not a stop but he means you STOP INVESTING once yo have invested 30% of your capital. B) rule number two, USE STOPS. C) Rule number three: LIMIT THE NUMBER OF POSITIONS.
2. The %R, a jewel! I got the book on the early 80âs but I was using this oscillator as early as 1975. On those days we did not have computers or internet but it was simple to compute with pencil and calculator on a small group of commodities. Over the years the bulk of profits came from the %R oscillator: overbought/oversold and crossover under/over -50. If Iâm not mistaken Laneâs creation of the âstochasticsâ was based on Williams %R.
What a pity!!! Iâm very sad to learn the trouble he is in now. His mind was (is) 24/7 on trading, maybe he overlooked that besides losses, commissions, spillage, etc. we have to share with the taxman what we get out of the vault on this trading arena. Sadâ¦sad!!!!
Best!
mF
Nevertheless I owe to this book immensely:
1. over the years I protected the capital by just following religiously his three phase method of managing money: a) the 30% stop rule. It is not a stop but he means you STOP INVESTING once yo have invested 30% of your capital. B) rule number two, USE STOPS. C) Rule number three: LIMIT THE NUMBER OF POSITIONS.
2. The %R, a jewel! I got the book on the early 80âs but I was using this oscillator as early as 1975. On those days we did not have computers or internet but it was simple to compute with pencil and calculator on a small group of commodities. Over the years the bulk of profits came from the %R oscillator: overbought/oversold and crossover under/over -50. If Iâm not mistaken Laneâs creation of the âstochasticsâ was based on Williams %R.
What a pity!!! Iâm very sad to learn the trouble he is in now. His mind was (is) 24/7 on trading, maybe he overlooked that besides losses, commissions, spillage, etc. we have to share with the taxman what we get out of the vault on this trading arena. Sadâ¦sad!!!!
Best!
mF
