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Way of the Turtle: The Secret Methods that Turned Ordinary People into Legendary Traders

The concept of this book is raising traders just like turtles are raised in Singapore. If that sounds a bit "off-the-rocker" as well as interesting, keep reading. Richard Dennis apparently said this to his long-time friend William Eckhardt nearly 25 years ago when what was started as a bet turned out to be a long-time experiment that hasn't really been talked about in its entirety.

The book, Way of the Turtle reviews what it takes to be an incredibly successful trader that some call "Turtles". Top trading mogul Curtis Faith talks about the entire experiment as he explains how it was possible for Dennis and Eckardt to recruit 23 normal, "every-day joes" from many diverse backgrounds and train them to become top traders in as little as two weeks. Sounds a bit hokey, I know, but it is apparently not a phenomenon.

At nineteen years old Top Turtle Curtis Faith traded his largest account and made more than $30 million in slightly over four years. I can't quite justify the validity of his story, however, the numbers certainly catch the eye. In this book, Way of the Turtle explains:

  • How the Turtles made money and the methods the principles taught them
  • Why some Turtles were more successful than others
  • Ways to limit risk exposure
  • Application rules of the "Turtle way" for your portfolio

One reader wrote:
This is a good book (not great). That said, you should know that many of the big "trend following" capital management companies in the United States have gone belly up this year (2006 & 2007). Even Richard Dennis (Curtis Faith's teacher) stopped trading some years back because of massive losses. Of course, he made a mint first. (If Curtis Faith's system is traded without stops, you will lose your shirt!!) Always do an Internet search on an author's background and possible problems before adopting a system. (<-- hint) With "trend following," just take your time... diversify broadly (especially into assets that move differently than stocks... all world stock indices, but two, move in unison) ... trade small amounts... keep 50% of your money in "untraded," safe "cash" investments)... if trading stocks, realize that they go up 75% of the time... trade on paper for one year first... and then realize that it may not be just the account drawdowns, but the psychological turmoil that will get to you.

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