Opinions Are Worthless
A couple of days ago, I read an article that said, “The economy has stabilized and is growing again…”
Today, I fired up my computer and read online about some major companies posting record losses in the billions of dollars.
Such a contradiction reminded me of something I read in Three Feet From Gold.
I have mentioned the book on this blog a couple times. It is by Sharon Lechter and Greg Reid and is absolutely awesome.
This book is an absolute must-read for every aspiring trader. By way of a quick overview, the book is about not stopping the pursuit of your goals so close to achieving them…. and it is based off the teachings of legend Napoleon Hill.
As I was reading it today, something jumped out at me that applies to every single trader. I wanted to share this with you, so that you could keep it in the forefront of your mind in order to become a better trader.
A couple chapters in, the book advised to,
“Seek Counsel, not opinions… opinions are usually based off ignorance, or shall we say, a lack of knowledge. Counsel is based off wisdom and experience.”
The reality is that there is an endless number of opinions floating around the market right now. About what is going on in the economy. About when it is going to stop. And about how it affects us traders.
Yet the sad fact is that many of them are based of ignorance. Definitely not on any sort of experience. None of them are based off the wisdom of people who are personally using the economic situation to better their lives and profit.
I know who I trust when it comes to counsel and advice, and I’m going to keep my ears closed to the uninformed opinions.
What crazy opinions have you heard?
3 Responses to “Opinions Are Worthless”
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Good morning Jeff. One of the first things I learned from you and will never forget is” trade what you see.” Sounds obvious right? What did Buffet say,” Forecasting says alot about the forecaster and nothing about the future.” It makes me sick to my stomach when I hear BS about the economy or certain stocks from people with personal agenda’s. It doesn’t matter to me which way it goes as long as it goes!
Jeffrey:
Thank you for posting this. I agree totally. Not only are we being bombarded with opinion, even those who express the opinions have some sort of interest in pushing their views. One commentator might be shorting the market and therefore will predict a slow down in an attempt to influence a sell-off; those who are long may do the opposite.
I am not going to offer an opinion on the market to anyone. One attorney told me once: “There are two kinds of advice: advice that you pay for and advice that is not worth a d__n!” How true. Just consider that when you read the WSJ or watch CNBC, that you are getting FREE advice and it is worth exactly what you paid for it.
None !! I only listen to my master mind group, who happens to be you Jeff, and Peter shultz who has 30 years experience in trading spreads and options in general. You both are my mentors and master mind group, and both of you are the only ones that I am going to take advice and learn from, thank you.