I am surprised that more quotes from legendary trader Nicolas Darvas are not available online. I hope this post helps this problem.
After reading hundreds of trading books, How I made $2,00,000 in the Stock Market by Nicolas Darvas continues to be one of my all time favorites. The book covers almost all the basic principles of trading success while also telling the true story of how the author made millions with his system during a bull market. It is also a fun and entertaining read. It truly brought my trading to a whole new level. The principles in this book are priceless.
My favorite Nicolas Darvas quotes from the book on the subject of:
Discipline:
“I knew now that I had to keep rigidly to the system I had carved out for myself.”
Risk/Reward:
“I was successful in taking larger profits than losses in proportion to the amounts invested.”
Exiting profitable trades:
“I decided to let my stop-loss decide.”(Speaking on when to exit an up trending stock)
Bear Markets
“I also learned to stay out of bear markets unless my individual stocks remain in their boxes or advance.”
Technical Analysis versus Predictions
“I believe in analysis and not forecasting.”
Trading Psychology
“I became over-confident, and that is the most dangerous state of mind anyone can develop in the stock market.”
Risk Management
“I decided never again to risk more money than I could afford to lose without ruining myself.”
Fundamental Analysis
“All a company report and balance sheet can tell you is the past and the present. They cannot tell future.”
Trend Following
“I made up my mind to buy high and sell higher.”
The Market tells its own story best
I accepted everything for what it was-not what I wanted it to be.”
