New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1921-09-25

and Jake" Field arc among The pro-
fessionals who are usually supposed TO
be doing big things in market way.
When Jesse Livermore lie, the world
know he had turned to the cons.ruc-
tive side Of the market this was con-
sidcred 3 development Of prime sig
nificancs. according to Wall Street ways
of thinking. because Livermore has
long had the reputation of being right
on Tire market. At the beginning Of
1920 when the country was still en-
joying prosperity and few clouds had
yet appeared upon the horizon CT bust
ness. Mr.. Liverr1ore had quietly taken
to the bear side u an besrsh for
the long pull" ne told the writer in
February Of that year, and then vent
on and predicted a general depression.
which would last year or more. He
gave the impression at the time Of hav-
ing put cut an extensive short line of
stocks. Within less than year ne
found himself IN position to cover at
huge profits. some stocks having fallen
so to 100 points from the highs OF the
1919 booming bull campaign Mr.
Livermorc is frank to admit that he
c.shed in Handsomely. and his fortune
to-day runs TO several millions on mis-
own admission.
Time to Turn =
When man was as right as Liver
more was on the market during the
long decline running through most of
iS2o and much OF the current year, it
was but natural that his conversion to
opt H1lsn should create more than gem
cral interest in stock market circles.
Wall Street likes to follow a winner.
Despite rumors to the contrary, there
Is no doubt about the genuineness of
LiEermore'S conversation to the bull
ran-. In his own words: st is time
that the American business man re-
allied that the downward trend has
been checked and that the industries of
the country have seen the end OF the
rcadJustment period" He sees in
mountain steel prices" He sees in
cotton, Improvement in the general
credit position, the beginning of a
secondary imitation" which is TO lead
to general revival of business. He
prides himself on being something
more than mere trader. ard gives q
GOOD deal of time to studying the eco
Monies of the situation.
Trading in securities has occupied
Llverm ores attention since ne started
work IN Boston as a board bow in a
brokerage house. HIS job there was
to put up quotations on a stock board.
It was not long before he was dab
bling in stocks himself, and he de-
veloped market judgment that was
almost uncanny. In fact. he became
such clever trader that thr Boston
bucket shops-those were the DAYS
WREN the bucket shop fourished-
finally refused to accept his orders.
Right Too Often
He was right too often for them TO
make money out Of his trades. This
was one reason why he came 20 New
York to speculate Since getting into
the big speculative puddle here he has
experienced numerous ranid-fre ms
and downs. His last unfortunate mar
ket experience wiped out everything he
had. He was in a position where he
could have settled with his creditors
on the oasis of n few cents on the dol
lar. But he declared he would paw
every cent re owed and it was not long
before he staged comeback that en-
aoted him to make good on his promise
Livermore thinks that in the lonr run
the bull side of the market is the win
nlng side. One is limited in his oper--
tlons On the bear side. he says. while
/ he can go as far as he likes on the
Dull SIDE. In his own personal opera
mons on the short side he always makes
1t practice never 20 sell short more
than per cent OF the outstanding CAPT
tai stock of a corporation of average
size. Il always want to have room to
turn around in he says in explanation.
! MI. Llvermore has some advice TO
give to folk who speculate First fuI
the line of least resistance" he saws.
Don't buck the current. Make Your
| Play and then sit down and wait. +,
! is a case of patience patience and rnor~
patience. There is nothing in trading
in and out of the market from dav Ia
day"