Thread by @maoxian

Too lazy to write that blog post about Linda Raschke's autobiography, "Trading Sardines," I'll just post excerpts I liked in this thread:

"... most underestimate the time and energy required to achieve consistent profitability."

When her trading fund reached $145 million, "It was difficult putting more monies to work with my current style of trading."

"Don't trade when tired. PERIOD."

"... sleep is the most important thing for one's health -- more important than diet and exercise."

"Fix mistakes immediately."

"Don't look at the P&L, look only at the price structure and trade it."

"The best trades are often making back losses."

After a series of losses, "It is a matter of faith that your routine and rituals will eventually give you the edge again."

"Jesse Livermore has a quote, 'Sell down to the sleeping point.'"

"I made sure my daughter had no interest in trading."

"... brainwash the mind and it will believe. Tell it enough bullshit and it believes."

"The first course of action in a bloodbath is always to get smaller."

"... figure out the [loss] level where you can function [not getting frozen or stressed] and [you will] trade freely...."

"[There is] one simple rule: never let a loss get too big."

"A sharp mind needs a fit body."

"... an excess of cash on the sidelines [is] the number one variable in my book that drives trends."

"Time-based exits are not dependent on the range or volatility conditions, and they are robust."

"Following a process systematically is essential."

"'Don't eat like a bird and shit like an elephant,' i.e., don't take small wins and big losses."

"No profit is yours until it is locked in."

"Winners admit errors."

"... eliminate all the distractions and wasted time engaging in frivolous activities." [ed. except for TWTR :-)]

"Concentration is the key to everything. Learn to concentrate specifically on the task that is at hand."

"If your goals are not written down, they are worthless."

"The lure [of] the short side [is] markets [go] down a lot faster than they [go] up ... measure profits [by] dollars made per unit of time."

"Trade location is essential when trading on a shorter time frame +

" + [whereas] the most important thing with a longer-term trend following approach [is] to get the trade on."

"... a big part of trading [is] putting in a lot of work without much to show for it."

"The principles in [my book, 'Street Smarts,' written in 1996] remain the same." | [ed. One of the top ten trading books in my collection for sure.]

"... the market is NEVER wrong."

"... the best trade is a failed seasonal."

"There is no more glorious feeling in the world than capturing a huge trend day. My first seven-digit day came from a short position in the SPs."

"... the markets cannot be reliably won with raw intelligence."

"If the Pritzkers had money with me, everyone had to have money with me."

"I funded 16 different trader over three decades, and only one ever made money -- Bob Buran (@StockBrain99). So, I don't back traders anymore."

"There is no more glorious feeling in the world than capturing a huge trend day. My first seven-digit day came from a short position in the SPs."

"Have backup accounts and backup brokers."

"... if you don't have other things in your life, you will get obsessed with the stimulation. Then it is not a career or a passion, it's an addiction."

"It's hard to take advantage of the opportunities that the opening provides when you are still figuring out what to do with a losing position."

"Emotional control is paramount in trading and poker."

"[You] are going to be wrong a percentage of the time. What do you have to do to stay strong psychologically?"

"... every statement I make about trading can be applied to poker, and vice versa. There is no right or wrong way to 'trade.'"

"... discard everything that is not of value: too much data, outside sources, TV, and internet surfing. Kill the distractions..."

"A good trade works right away and never looks back."

"It's not a great idea to hold a loser overnight."

"On the ideal trend day, get long, stay long, and scalp every continuation pattern. Exit on the close."

"... my first 100% mechanical system['s] ... stop was three times as great as the target but the win rate was 85%."

"You can't predict ... where the big wins are going to come from -- just keep taking every system signal."

"... my experience gives me an edge. ... it's hard to muster the necessary confidence in a system unless you develop it yourself."

"NEVER believe any claim a trader makes about their profitability unless you see their statements or they are a registered entity with an audited record."

"This business is crawling with people waiting to sell you a bridge."

"Successful traders follow a disciplined methodology. They do not allow large losses. This is the number one rule."

"... you will always do your best work when you are free from distractions and the influence of others."

"Cinch your profits as the market gives them to you."

"... trading out of [your] home, [you will be] in desperate need of the camaraderie from a community."

"When you are trading the markets, you have to have a separate source of happiness...."

"I believe in positive thinking and the power of visualization."

"Trading is like tennis: Keep the ball in play, don't make unforced errors, be patient, and wait for your opening."

"I do best when I stick to technicals based on the price."

"Averaging a loser is the worst strategy a trader can adopt, especially if one gets away with it."

Trading is "about positioning yourself so that, once in a while, you might get lucky."

"It's never a problem getting into a market; it's always a problem getting out when you need to." [ed. incl. #StuckAtaProfit]

"All lessons [are] learned the hard way."

"'How do you know where to put in a stop?' I asked. 'How much money do you want to lose?' he answered."

"There [is] always a protective stop resting in the market. ... Never risk more than you want to lose."

Thus end my selected tidbits from Linda Raschke's autobiography, which I encourage you to order here: lindaraschke.net/trading-sardin…