Reminiscences of a Stock Operator by Edwin LeFevre is a timeless, classic investment book first published in 1923. The book is a slightly fictionalized account of the life of the legendary trader Jesse L. Livermore - a man highly regarded as one of the shrewdest stock traders and speculators of all time. Despite the fact that it was written quite some time ago, it continues to offer valuable insights into the art of trading and speculation.

The book tells the rather amusing story of a young trader's progression to day trading in the then so-called "bucket shops" and from there to market speculator, market maker and finally market manipulator. Over a period of about 40 years of trading, Jesse developed a keen talent in the art of speculating. Along the way, many lessons are learned by this trader which he shares with the reader.

I have read this book several times and am amazed at the new insights I have missed (or forgotten) since my last reading. It is no wonder that this book has been popular with traders for more than seven decades.

The following are some of my favourite excerpts from Reminiscences of a Stock Operator which outline some of Jesse's stock trading tips and thoughts based on his own extensive trading experience. All of them continue to be relevant to this day

Jesse Livermore's Stock Trading Tips & Comments

1. Remember that stocks are never too high for you to begin buying or too low to begin selling. But after the initial transaction, don't make a second unless the first shows you a profit.
    
2. If a stock doesn't act right don't touch it; because, being unable to tell precisely what is wrong, you cannot tell which way it is going. No diagnosis, no prognosis. No prognosis, no profit.
    
3. Always sell what shows you a loss and keep what shows you a profit.
    
4. The principles of successful stock speculation are based on the supposition that people will continue in the future to make the mistakes that they have past.
    
5. Don't argue with the tape. Do not seek to lure the profit back. Quit while the quitting is good–and cheap.
    
6. Never buy a stock because it has had a big decline from its previous high.
    
7. There is only one side to the stock market; and it is not the bull side or the bear side but the right side.
    
8. Never act on tips.
    
9. The speculator's chief enemies are always boring from within. It is inseparable from human nature to hope and to fear. In speculation when the market goes against you hope that every day will be the last day–and you lose more than you should had you not listened to hope–to the same pioneers, big and little. And when the market goes your way you become fearful that the next day will take away your profit, and you get out–too soon. Fear keeps you from making as much money as you ought to. The successful trader has to fight these two deep-seated instincts. He has to reverse what you might call his natural impulses. Instead of hoping he must fear; instead of fearing he must hope. he must fear that his losses may develop into a much bigger loss, and hope that his profit may become a bigger profit. It is absolutely wrong to gamble in stocks the way the average man does.
    
10. A man must believe in himself and his judgment if he expects to make a living at this game.