Ten Ways to Lose Money in Wall Street

By the Market Cynic

      After many hours of toil and deep thought, I have compiled a dependable guide for stock traders: Ten Ways to Lose Money in Wall Street.

I won’t attempt to explain or qualify these precepts, because my readers will doubtless follow them regardless of any advice, from any source, to the contrary.

 Put your trust in board-room gossip.

1. Believe everything you hear, especially tips.
2. If you don’t know, guess.
3. Follow the public.
4. Be impatient.
5. Greedily hang on for the top eighth.
6. Trade on margins.
7. Hold to your own opinion, right or wrong.
8. Never stay out of the market.
9. Accept small profits and large losses.

(source: Tape Reading & Market Tactics by Humphrey B. Neill, 1931)