I had the pleasure of listening to Vitaliy Katsenelson on his investment ideology with Agora financial this summer in Vancouver, speak, which introduced described as "Bottom line value based stock picker." as the Vitaliy took the stage and clarified as a "value investor, which like to communicate." I agree with me after reading his latest book, the little book of sideways markets: how to make money in markets, go nowhere (Wiley, 2011). Vitaliy does a great job on simple stories that embed complicated in the financial markets, the value lessons investing wisdom within these stories so that we can use when markets in a sector that it calculated are caught, 50% of the time.
From the perspective of a trader "Sideways Markets" real world offers advice for active traders that I can use my trading plan morning, while filling in any gaps, the technician in fundamental analysis Division may be missing. Active trader is my biggest concern among the investing book to read, what I can from this book take and use now. Whether Vitaliy will admit, he has a little active trader in it or not, it is quite obvious when you analyze the markets in the hope of an edge from future direction to win while adjusting your strategy along the Way…that is described as trade. It is really just a matter of time frame at this time.
My two favorite lessons for short-term traders in this book are brilliant in its simplicity. Vitaly golds that everyone can understand a story about a farmer named Tevye and his cow, demonstrate the concepts of value investing, margin of safety and the pitfalls of speculation. At the end of this fable was a very insightful approach that applies to invest more dynamic than he probably realized. "That's why I stopped bids on sunny days when everyone has a smile on your face." We all know to about exuberance and how it most traders in wrong time for exact suckers.
The other lesson is in the chapter which reminds Vitaliy an experience he had at a casino. It has been well documented by many similarities of professional players, that the dealer and the need to "spend more time focusing on the process, not on the result." Both need your bankroll to protect and you do that to follow that system are no matter what your feelings tell a rigid system and personal discipline. Both dealer and player know small while retaining their losses when you follow through with the big bet, to fight another day. If you play your system allow within many professions, and have a profitable edge, put the odds in your favor and be the House as long as your emotions in check are kept.
To better illustrate how exactly with the title, this book is I have a chart of the S & P since 1997 showing how it was a lot of up and down action, but have essentially we ended up right where we started. While markets, sectors and stocks continue to up and down, Vitaliy stressed that "the easiest way to combat EGW is erosion increase the required margin for stocks in your portfolio." And you do become a stock picker and analyze each individual bearing with the components of quality, rate and growth as your purchases. Only then set the chances your favor to combat the roller coaster, which has become the stock market.
If it disagrees with something inside the book I, if the author declares to sell a stock. If a stock fair reaches value, sermon V. the bearings should be sold immediately. This contradicts my trend, the trade rules, because as long as the stock later move to it would be in the best interests of a trader trailing stop type to benefit the more upside potential, the stock is to be continued later. I agree with the author, you need have emotions to your share to NULL, but it is to stay invested shares move higher, as long as your trailing stops are available in the best interest of your trading performance.
Vitaliy's latest book is quite pleasing, easy to read, and covers many different topics that ensure you to learn something new as you your way though it. I can say that to see him in person and read, Vitaliy this book has a great understanding what it takes to outwit the sideways markets where we are.
