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Message: Letter to a Friend and Fellow Shareholder

Letter to a Friend and Fellow Shareholder

posted on Apr 14, 2010 11:43AM
Thomas, ...The price action for Kimber right now is driving me nuts. It's driving me so nuts, in fact, that I figure we must be pretty close to some sort of an upside breakout. I am essentially giving up on trying to make sense of the price movements for the time being, just sitting tight, as Jesse Livermore and Eric would advise.

By the way, I am a big fan of James Dines. I have recently purchased and am making my way through his first book How the Average Investor Can Use Technical Analysis for Stock Profits. It's hard to get a copy, but worth every penny. (Mine cost $250) I've read everything Dines has written, and I think this is the best.

Ironically, Dines states in his later writing that reading this book is unnecessary, because he repeats everything in his later works. THIS IS NOT TRUE! Of course, James Dines would state that irony is the punishment for not understanding that life's inherent nature involves paradox. This is a great paradox to be sure. His most instructive work is the one he pans in his writing.

This book is like a diary. He goes over one chart after another and records why he is or was thinking what he was thinking as he was. Then he forms his conclusions. In his later works, you get the conclusions only. However, I find the thought processes that he documents in this first book to be most fascinating and very, very important in my personal learning process. I've read several books on technical analysis and nothing even comes close to the insight and teaching that is in this one. You are watching and listening to a grand master in his formative years, reading and learning right along with him. If I were you, I'd get a copy. All the best, Bull
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