Why Short-Term Solitude Makes You a Better Thinker
Making good decisions requires having time and space to think
Jesse Livermore is considered the best stock trader in history. He was the inspiration for one of the most famous books on trading, Reminiscences of a Stock Operator, published in 1923. He was a true pioneer of stock trading and brought his profession to a new level in the early 21st century by dedicating his whole life to trading.
His habits were unique for his time. He had laser focus from 9:30 a.m., when the market opened, until 4 p.m., when the final bell rang. In an interview found in the latest edition of his book, How to Trade in Stocks, he gave the following advice to traders:
Keep stress at bay — act in all ways to keep the mind clear and your judgment correct. I did all I could to achieve this in my physical life by going to bed early, eating and drinking lightly, taking exercise, standing upright at the stock ticker, standing while on the telephone, and demanding silence in the office. I spoke to no one on my way to work and kept silent about my stock market actions.
I’ve spent a long time studying the life and philosophy of Livermore. As a stock investor, I identify most with value investing, but I believe it’s important to study speculators as well. Interestingly, many…
