Jesse Now~ Livermore Lessons, not Ventura Ventures

March 9th, 2010 by Rich

It was a long and difficult step to take.

It is literally true that millions come easier to a trader after he knows how to trade than hundreds did in the days of his ignorance.

http://www.zealllc.com/2003/jesse06.htm

Mr Livermore’s inspiration for making money in the markets came from a book written 36 years before he was born.

That book also inspired another great investor who advised Presidents from a park bench, Bernard Baruch.

We referred to the work before:

Scottish poet Charles Mackay’s

Extraordinary Popular Delusions and the Madness of Crowds.

http://en.wikipedia.org/wiki/Extraordinary_Popular_Delusions_and_the_Madness_of_Crowds

Mr Mackay semi-accurately chronicled the booms, busts and delusions of the Alchemists, Crusades, Witchcraft Trials, Tulip Mania, South Sea Company, the Mississippi Company and other Joint-Stock Bubbles, to caution against the foibles of human nature going from pessimism to optimism and back again.

The South Sea Company bubble may have cost the Master of the Mint, Alchemist, Astronomer, Bible Coder, Cambridge Trinity College Practical Mathematician, Optician, President of the Royal Society, Scientist and Theologian, Sir Isaac Newton, the fabulous sum of 20,000 pounds then, according to his half niece, who became his live-in social hostess before marrying well.

That sum Newton may have lost today, is worth over 33 Million pounds in earnings or wages. For obvious reasons, the Master of the Mint did not publicize his loss with the South Pacific Company, which swapped government debt for corporate equity, much like the TARP bailout today.

http://en.wikipedia.org/wiki/Isaac_Newton

http://www.absoluteastronomy.com/topics/The_South_Sea_Company

http://en.wikipedia.org/wiki/Catherine_Barton_Conduitt

http://www.measuringworth.com/ppoweruk/

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This entry was posted on Tuesday, March 9th, 2010 at 7:08 pm and is filed under Market Psychology. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

2 Responses to “Jesse Now~ Livermore Lessons, not Ventura Ventures”

  1. Vahram Says:
    March 11th, 2010 at 9:34 pm

    rich write a book, i’ll be the first one to buy it.

  2. Rich Says:
    March 16th, 2010 at 7:43 pm

    Thanks Vahram.
    Wrote Four:
    A.Mind, Money, Market 1981
    (Syllabus for Stanford Investment courses taught by Five years of Academic Senate Appointment)
    B.The Politics of Prosperity 1994
    (Plan for renewing Constitutional Government)
    C. The Gift 2008
    (Predicted the Panic and what to do to protect capital and income)
    D. The Tortuga eManual 2009
    (Bottom line lessons from over 50 years in the market, starting with pulling weeds for silver dollars)
    Spring Portfolio of TopTen Closely Held Dividend Discounts comes out this weekend.
    Big4 Asset Allocation Portfolio comes out every Weekend.
    Regards*Rich

 

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