As investors and traders, it's important to not only stay informed on the current market trends and strategies, but also to understand the roots of where it all began. This is why delving into the classic texts on stock market trading can be so valuable. Books such as "The Dow Theory" by Robert Rhea, published in 1932, provide insight into the thought processes and strategies of traders during a completely different economic era.
By studying these older texts, we can gain a deeper understanding of the market and potentially uncover timeless principles that are still applicable today.
# "Reminiscences of a Stock Operator" by <a href="https://en.wikipedia.org/wiki/Edwin_Lef%C3%A8vre">Edwin Lefèvre</a>
https://www.pdfdrive.com/reminiscences-of-a-stock-operator-e32718390.html
"Reminiscences of a Stock Operator" by Edwin Lefèvre, published in 1923. This book is considered a classic in the field of stock market trading and is based on the life of Jesse Livermore, one of the most famous stock traders of the early 20th century. The book provides insights into Livermore's trading strategies and philosophies, and is still widely read and studied today.
> "I went to work when I was just out of grammar school. I got a job as quotation-board boy in a stockbrokerage office. I was quick at figures. At school I did three years of arithmetic in one. I was particularly good at mental arithmetic. As quotation-board boy I posted the numbers on the big board in the customers' room. One of the customers usually sat by the ticker and called out the prices. They couldn't come too fast for me. I have always remembered figures. No trouble at all. "
# "How to Trade in Stocks" by Jesse Livermore
https://www.pdfdrive.com/how-to-trade-in-stocks-e188069386.html
"How to Trade in Stocks" by Jesse Livermore, published in 1940. This book is written by the same trader as Reminiscences of a Stock Operator, and it is considered a practical guide on how to trade in the stock market.
> "The game of speculation is the most uniformly fascinating game in the world. But it is not a game for the stupid, the mentally lazy, the man of inferior emotional balance, nor for the get-rich-quick adventurer. They will die poor. Over a long period of years I have rarely attended a dinner party including strangers taht someone did not sit down beside me and after the usual pleasantries inquire: "How can I make some money in the market?"
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# "The Stock Market Barometer" by Robert Rhea
https://www.pdfdrive.com/the-stock-market-barometer-d41867115.html
https://www.forgottenbooks.com/en/download/TheStockMarketBarometer_10024817.pdf
"The Stock Market Barometer" by William Peter Hamilton, published in 1932. This book is an analysis of the stock market using technical analysis, including moving averages and trendlines, which is still widely used today.
> "An English economist whose unaffected humanity always made him remarkably readable, the late William Stanley Jevons, propounded the theory of a connection between commercial panics and spots on the sun. He gave a series of dates from the beginning of the seventeeth century, showing an apparent coincidence between the two phenomena. It is entirely human and likeable that he belittled a rather ugly commercial squeeze of two centuries ago because there were not then a justifying number of spots on the sun."
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# "The Dow Theory" by Robert Rhea
https://www.pdfdrive.com/dow-theory-for-the-21st-century-e20854736.html
"The Dow Theory" by Robert Rhea, published in 1932 is an analysis of the stock market using Dow Theory, which is a technical analysis of stock market trends, and it is still widely used today. It is based on the work of Charles Dow, who was one of the founders of Dow Jones & Company and the creator of the Dow Jones Industrial Average (DJIA) and the Dow Jones Transportation Average (DJTA).
> "A person watching the tide coming in and who wishes to know
the exact spot which marks the high tide, sets a stick in the sand
at the points reached by the incoming waves until the stick
reaches a position where the waves do not come up to it, and
finally recede enough to show that the tide has turned. This
method holds good in watching and determining the flood tide
of the stock market"
The Dow Theory states that the stock market consists of three trends: primary, secondary, and minor. The primary trend is the long-term trend of the market, and it lasts for several years. The secondary trend is the intermediate trend of the market, and it lasts for several months. The minor trend is the short-term trend of the market, and it lasts for several days.
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