Learn how to take losses quickly and cleanly. Don’t expect to be right all the time. If you have made a mistake, cut your losses as quickly as possible.
June 11, 2014
It’s 9:30 in the morning at the New York Stock Exchange. A man presses a button that rings a bell and opens the exchange for business. Behind him is a giant billboard with 500 individual lights. Each light represents one of the 500 stocks in the S&P Index. On a typical day 485 bulbs may flash green signifying stocks that are...