PrintNumber ErrorLocation Error Correction DateAdded
4 pvi Fourth Printing February 2010 Fifth Printing: June 2010 4/15/2009
4 p10 However, there is another type of technical analysis that neither tries to predict or forecast. However, there is another type of technical analysis that neither tries to predict nor forecast. 6/14/2010
4 p64 The household names, Buffet and Soros, are less than half of Ed’s return each year. The household names, Buffett and Soros, are less than half of Ed’s return each year. 6/14/2010
4 p79 ...(i.e. Curtis Faith). ...(e.g. Curtis Faith). 6/14/2010
4 p103 This means they have many small loses as they constantly try to see if an entry into a market pans out into a big trend. This means they have many small losses as they constantly try to see if an entry into a market pans out into a big trend. 6/14/2010
4 p104 John W. Henry makes the clear distinction between volatility and risk: John W. Henry makes clear the distinction between volatility and risk: 6/14/2010
4 p146 Side Quote: You must have the discipline to know that markets change and poor periods are followed by good period. You must have the discipline to know that markets change and poor periods are followed by good periods. 6/14/2010
4 p153 Merton was even said to have remarked to Merton Miller that you could think of LTCM’s strategy as a gigantic vacuum cleaner sucking up nickels across the world. Merton was even said to have remarked to Miller that you could think of LTCM’s strategy as a gigantic vacuum cleaner sucking up nickels across the world. 6/14/2010
4 p200-201 Self-regulation is the ongoing inner conversation that emotionally intelligent engage in to be free from being prisoners of their feelings. Self-regulation is the ongoing inner conversation that emotionally intelligent people engage in to be free from being prisoners of their feelings. 6/15/2010
4 p230 Defining risk in terms of number is critical. Defining risk in terms of a number is critical. 6/15/2010
4 p251 This is known as fair game, one in which a player has no advantage or disadvantage. This is known as a fair game, one in which a player has no advantage or disadvantage. 6/15/2010
4 p258 The size of the bet is small around 2 percent.” Seykota calls his risk-adjusted equity “core equity” and the risk tolerance percentage “heat.” Hcan be turned up or down to suit the trader’s pain tolerance—as the heat gets higher, so do the gains, but only up to a point. The size of the bet is small, around 2 percent.” Seykota calls his risk-adjusted equity “core equity” and the risk tolerance percentage “heat.” Hcat can be turned up or down to suit the trader’s pain tolerance—as the heat gets higher, so do the gains, but only up to a point. 6/15/2010
4 p265 I have an included a sample trend following trading system in Appendix F, “Trading System Example from Mechanica,” from Bob Spear of Mechanica software. I have included a sample trend following trading system in Appendix F, “Trading System Example from Mechanica,” from Bob Spear of Mechanica software. 6/15/2010
4 p269 With so many great tools, it’s easy to change or modify a system and to develop indicators rather than rules, but is it always wise.” With so many great tools, it’s easy to change or modify a system and to develop indicators rather than rules, but is it always wise?” 6/15/2010
4 p272 When you trade more or with higher frequency, the profit that you can earn per trade decreases, whereas your transaction costs stay the same. When you trade with higher frequency, the profit that you can earn per trade decreases, whereas your transaction costs stay the same. 6/15/2010
4 p290 Would it nice if the roller coaster ride was smoother? Wouldn’t it be nice if the roller-coaster ride were smoother? 6/15/2010