Trader Vic--Methods of a Wall Street Master
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Trader Vic--Methods of a Wall Street Master

Trader Vic--Methods of a Wall Street Master


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About the Book

Trader Vic -- Methods of a Wall Street Master Investment strategies from the man Barron's calls "The Ultimate Wall Street Pro" "Victor Sperandeo is gifted with one of the finest minds I know. No wonder he's compiled such an amazing record of success as a money manager. Every investor can benefit from the wisdom he offers in his new book. Don't miss it!" --Paul Tudor Jones Tudor Investment Corporation "Here's a simple review in three steps: 1. Buy this book! 2. Read this book! 3. See step 2. For those who can't take a hint, Victor Sperandeo with T. Sullivan Brown has written a gem, a book of value for everyone in the markets, whether egghead, novice or seasoned speculator." --John Sweeney Technical Analysis of Stocks and Commodities "Get Trader Vic-Methods of a Wall Street Master by Victor Sperandeo, read it over and over and you'll never have a losing year again." --Yale Hirsch Smart Money "I have followed Victor Sperandeo's advice for ten years, and the results have been outstanding. This book is a must for any serious investor." --James J. Hayes, Vice President, Investments Prudential Securities Inc. "This book covers all the important aspects of making money and integrates them into a unifying philosophy that includes economics, Federal Reserve policy, trading methods, risk, psychology, and more. It's a philosophy everyone should understand." --T. Boone Pickens, General Partner Mesa Limited Partnership "This book gave me a wealth of new insights into trading. Whether you're a short-term trader or a long-term investor, you will improve your performance by following Sperandeo's precepts." --Louis I. Margolis Managing Director, Salomon Brothers, Inc.

Table of Contents:
Foreword iii Preface ix Acknowledgments xiv Part 1 Building Your Knowledge from the Ground Up 1 Introduction: The Secret of the Gamboni 1 1 From Gambler to Market Master: The Making of a Professional Speculator 3 A Quest for Freedom 5 The Wisdom of the Tape 6 Horsetrading Options 8 A Taste of Independence 10 Discovering the Nature of Trends 12 Finding My Freedom 13 2 The Alligator Principle: Proof of the Need to Think in Essentials 15 Being Eaten Alive 15 Thinking in Essentials16 3 A Business Philosophy for Consistent Success 21 Preservation of Capital 21 Consistent Profitability 24 Pursuit of Superior Returns 26 Conclusion 27 4 Finding Order in Market Chaos: An Introduction to Dow Theory 29 Good Ideas Often Misunderstood 30 The “Hypotheses” of Dow Theory 32 The “Theorems” of Dow Theory 35 Conclusion 46 5 A True Understanding of Trends 49 Uptrend, Downtrend, Move All Around Trend 49 Let’s Reduce It to Basics 49 The Importance of Confirmation 52 The Four Phases of a Market 54 Important Volume Relationships 57 Conclusion 57 6 The Merits and Hazards of Technical Analysis 59 Tidewatchers 60 The Manipulators 63 The Purists 66 Summary 67 7 Where Fortunes Are Made: Identifying a Change of Trend 69 Determining the Trend—Drawing the Trendline 71 Identifying a Change of Trend: It's Easy as 1-2-3 74 2B, or Not 2B? That’s Worth Some Money! 78 The Cause of Tests and the 2B Pattern 81 The ABCs of Secondary Corrections 84 Summary 84 8 What the Analysts Don’t Know Can Kill You 87 How Important Can Anchovies Be? 87 Understanding Moving Averages8 8 A Different Perspective on Relative Strength 93 Momentum Indicators (Oscillators) 96 Making Specific Stock Selections 104 Conclusion 108 9 The Way the World Really Works: The Basics of Economics 109 The Jigsaw Puzzle 109 Economics According to Robinson Crusoe 112 The Role of Money 115 Economics and Human Nature 118 Production Before Affluence 121 Savings, Investment, Credit, and Wealth 124 Summary: The Closest Thing There Is to a Free Breakfast 130 10 Booms and Busts: Who Holds the Pump and Who Holds the Needle? 133 Booms and Busts: The Business Cycle 133 The Nature of the Business Cycle 134 The Structure and Role of the Federal Reserve System 144 How Money and Credit Availability Is Created and Controlled 146 Reserve Requirements, Fed Funds Rate, and the Discount Rate 151 How to Predict the Trend and Changes of Trend Based on Fed and Treasury Policy 160 Conclusion 162 11 Managing Money By Measuring Risk 163 The True Meaning of Risk 163 A Revolutionary Approach to Risk Assessment 166 Allocating Capital with Odds Management 170 12 There Must Be Fifty Ways to Lose Your Money 175 The $4017 Hairdryer 175 Trading Rules and the Reasons Behind Them 176 The Rules Defined 177 The 85% Rule 187 Conclusion to Part 1: Putting It All Together 189 Part II The Commitment to Make It Happen: Emotional Discipline 191 The Trader’s Dream: A Fable 191 13 The Spock Syndrome: Reason and Emotions at War197 Introduction 197 From Predator to Trader: The Evolution of Human Emotions 199 Emotions as Benefactor 202 Emotions as the Villain 204 The Source of Consistency: Emotional Discipline 206 Conclusion 208 14 Success is What You Make It 211 The Prerequisites of Success 211 The Meaning of Success 212 The Supercomputer of the Mind 214 Discovering and Using Motivation 216 Conclusion220 15 Changing So It Sticks 221 Using Your Body 222 Using Your Conscious Mind 225 Discovering Awareness 226 Finding Your Focus 228 The Power of Questions 231 The Importance of Evaluation 232 Values and Character 232 Beliefs and Personality 234 Harnessing the Power of the Subconscious 239 Anchoring 242 Conclusion 244 16 Conquering False Pride 245 The Most Important Reason People Fail in Trading 245 Your Evil Twin: The Idealized Self-Image 246 The Search for Glory 247 Compulsion and Imagination 250 When Wishes Become Claims 251 The Tyranny of the Shoulds 252 Real Pride/False Pride 256 17 Finding Your Freedom2 59 Notes 263 Glossary of Terms 271 Bibliography 281 Index 283

About the Author :
VICTOR SPERANDEO has been a professional trader and money manager for 24 years. He currently manages and advises institutional and large individual portfolios for Rand Management Corporation. He has been profiled in Barron's and The Wall Street Journal and appears frequently on CNBC and other television networks, and is in demand as a lecturer.


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Product Details
  • ISBN-13: 9780471304975
  • Publisher: John Wiley & Sons Inc
  • Publisher Imprint: John Wiley & Sons Inc
  • Height: 226 mm
  • No of Pages: 304
  • Returnable: N
  • Weight: 386 gr
  • ISBN-10: 0471304972
  • Publisher Date: 15 Sep 1993
  • Binding: Paperback
  • Language: English
  • Returnable: N
  • Spine Width: 23 mm
  • Width: 152 mm


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