July 2011
Intermediate to advanced
256 pages
6h 39m
English
Chapter 11
The Greed Addiction
If you are a serious trader, revisiting the subject of greed cannot be done often enough. Just as the price of freedom is eternal vigilance, the price of success in trading is eternal vigilance against greed.
Greed is there to sabotage you each time you face the prospect of making money in the markets. As the great confounder of judgment and destroyer of discipline, greed can cause you to hold a position long after the profits should have been taken or the losses cut. Like all great thieves, greed is an excellent sneak. It is subtle, wily, and hard to detect until it has its grip on you. Like the flu, you need to be regularly inoculated against greed since no one is immune and some individuals are particularly susceptible to it, and like the flu, no matter how many times you fall victim, you can catch it again in its new, mutated form.
