"The Royal Road to Success is to be a Bear in a Bear market and a Bull in a Bull market."

"Professional men, such as lawyers and doctors, spend three or four years and thousands of dollars preparing for the practice of their profession, but the speculator or investor does not spend any time or money preparing for the practice of his profession, and yet expects to succeed. Is it any wonder that only one in a hundred makes money?"

"If the market is going against you on the first trade and it looks like you are wrong, the thing to do is to get out quickly and not buy or sell more."

"The stock tape moves in mysterious ways the multitude to deceive, because the public are influenced by their hopes and fears. They sell on fear and buy on hope, thus getting in or out near the top or bottom, while the man who trades on some well-defined plan buys when the public sells and sells when the public buys. The stock market does not beat you. You beat yourself by following your own weaknesses, by listening to the man who knows less than you, by reading the newspapers, following the gossip of the Street, all of which is put out to influence you in the wrong direction."

"The great fundamental rule that you must learn in order to be a success is to follow the trend of the market. If you cannot determine a definite trend, get out and wait until you can. You can always make plenty of money after the trend is well defined."

"No matter how strong a man's will power may be, he is influenced consciously or unconsciously, by what he hears or sees, and his actions or executions are interfered with accordingly. This is the reason why a few big traders, like Livermore, have a private office with a ticker, where they can be away from all outside influences and watch the tape, form their impressions, and act on them without being influenced by things they do not want to hear. But only traders who have a very large amount of money and can devote all of their time to the market and tape reading can afford to have an office and a ticker where they can study the tape alone without interference. The average man cannot afford this." [Ed. - He can now!]

"It is a good thing to be an optimist, but whether it be in business or the stock market, it is the truth that helps and protects, and not false hopes and unwarranted optimism."

"If traders would only use a little 'horse sense' and do their own thinking, stop aping and swallowing all the newspapers tell them and analyze the reason or motive behind the men who talk optimistic at the top and pessimistic at the bottom, they would make a great deal more money. To make a success in the stock market you must do your own studying and thinking. Be neither a bull nor a bear, and no matter whose opinion you follow, you will be much better off if you can verify it by your own study of charts, which show the conditions as revealed by the tape, and the thoughts and opinions registered by the majority, and not the opinion of one man or one group of men, no matter how strong they may be."

"For a trader to succeed, he must study human nature and do the opposite of what he finds the general public does."