We cannot avoid the onslaught of financial advice and entertainment
in today’s society.  Some good comes of
it, we get to experience Schadenfreude when the latest corporate executive is haled
of in hand cuffs. But much of what is on CNBC, FOX Business, and their  ilk is of no real value to you as a trader.
Every once in awhile you will see, read or hear something that you feel will
benefit your trading day, but once we hear it has about, the likelihood that
you will be able to realize a return on investment that can be specifically
attributable to that piece of news is highly improbable.

I don’t advocate that you disregard everything that you hear
outside of a boardroom or trading floor, just don’t use it as justification to
put your capital at risk. If you have a disregard for money there are millions
of other ways for you to show that disregard that will bring both you and the receiving
party more satisfaction than following another one of Cramer’s trades.

I have had the fortune (some would say misfortune) to read a large
number of memoirs by current and former traders. While I felt that I was able
to take something from each book I read, I can honestly say that the memoirs of
Victor Niederhoffer http://en.wikipedia.org/wiki/Victor_Niederhoffer  and Nicholas Nassim Taleb http://en.wikipedia.org/wiki/Nassim_Nicholas_Taleb had by and far the most
qualitative and quantitative affect. If you choose to read my blog with any
regularity you will become as familiar with their personal philosophies and
professional trading styles as I have.

I won’t delve too deep into who they are, what they have
accomplished and why they matter. I have included a couple of links in case you
are the inquisitive type like myself and must know now. I can safely say that
their trading styles are as different as night and day. However they do agree
on the fact that you will gain absolutely nothing, and will in fact increase
the probability that you will have a losing trade,  if you base your trade off of something in
the financial press.

One thing you must remember whether you are trading or investing
is that financial journalists do not have their jobs because of their ability
to analyze the market. (Then again the same can be said of some fund managers!)
If you must rely on someone else for trading ideas and you don’t have the
ability to have your money manager at an address in Greenwich CT. you’re better
off asking someone who has absolutely no exposure to the markets, than someone
with superficial knowledge.

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