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When I'm bearish and I sell a stock, each sale must be at…

“When I'm bearish and I sell a stock, each sale must be at a lower level than the previous sale. When I am buying, the reverse is true. I must buy on a rising scale. I don't buy long stocks on a scale down, I buy on a scale up.” quote by Jesse Lauriston Livermore
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“When I'm bearish and I sell a stock, each sale must be at a lower level than the previous sale. When I am buying, the reverse is true. I must buy on a rising scale. I don't buy long stocks on a scale down, I buy on a scale up.”

Jesse Lauriston Livermore

About This Quote

This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.

Successful trading requires buying on upward price movements and selling on downward ones, maintaining a disciplined scaling strategy.

In simple terms: Buy high, sell low, but in a disciplined way.

Key Takeaway

Follow a clear scaling rule for trades.

Themes

trading discipline price trends

Mood

focused determined analytical

Type

strategic instructional

When to use this quote

  • stock investing
  • day trading
  • portfolio rebalancing

Key Concepts

scaling market psychology risk management

Questions to Reflect On

  • How do you ensure you stick to the scaling rule during volatility?
  • What signals indicate a true upward trend?
A Different Perspective

A market can stay irrational longer than your rule allows.

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