Before there were trading algorithms, Discord servers, and zero-commission brokers, there was Jesse Livermore—the man who famously made (and lost) millions by reading nothing but price and volume. Born in 1877, Livermore taught himself to trade in the bucket shops of Boston and later went on to short the 1929 stock market crash, pocketing over $100 million in the process.
He was bold, brilliant, and brutally honest about what it takes to survive the markets. Though his era was different, his trading rules still echo through every chart, every breakout, and every blown account today.
Here’s how you can apply Livermore’s timeless wisdom to today’s fast-moving markets:
1. Forget the Tips—Trade on Your Own Terms
Chasing someone else’s “hot pick” is a fast track to failure. Do your homework, build your edge, and make your own calls.2. Ride the Wave—Follow the Market, Don’t Fight It
Livermore aligned himself with the trend. If the market is moving, move with it—not against it.3. Pull the Trigger with Conviction
When your setup hits, act. Second-guessing means missed opportunities. Trust your process and go all in—strategically.4. Kill Losers Quickly—No Mercy
The fastest way to blow up your account? Holding onto hope. If a trade turns against you, get out and move on.5. Let the Winners Work
Don’t interrupt a trade that’s doing its job. Big wins need time—so don’t settle for scraps when the market offers a feast.6. Tune Out the Noise—Watch the Price
Forget headlines and hype. Price action tells the real story. Follow the chart, not the chatter.
