MOMENTUM

I learned from my mistake in 1999 that even when you know something is irrational, if the momentum is there, it can keep going long enough to kill you.

You have to let winners run. That is the hardest thing to do psychologically. But the math only works if your wins are bigger than your losses.

The first hour of trading is where 80% of the best momentum setups happen. If you can't be at your desk at 9:30, day trading is probably not for you.

Momentum is the premier anomaly in finance. It works everywhere, across almost every asset class, in almost every country, over almost every time period studied. And yet people keep trying to explain it away.

The first class was Dustin Hoffman teaching acting. When a two-time Oscar winner says yes, suddenly every other celebrity takes your call.

The market rewards factors, not feelings. Cheap stocks with momentum beat expensive stocks with great stories.

I was never afraid of buying a stock at a new high. What I was afraid of was buying a stock at a new low.

What seems too high and risky to the majority generally goes higher and what seems low and cheap generally goes lower.