The Legendary Trader of Wall Street

Today's Person: Stanley Druckenmiller

What's important is not whether you are right or wrong, but how much you made when you were right and how much you lost when you were wrong. When you bet your entire fortune and the situation changes, you must adapt accordingly. This is something I've always known; I like to put all my eggs in one basket and then watch that basket very carefully. As a practitioner, I like to analyze the current trends and focus on liquidity, which is a fickle animal; things can be highly liquid one moment and completely illiquid three weeks later. The first thing I heard when I entered this industry wasn't from my mentor, it was that you can make money in a bull market, make money in a bear market, but pigs get slaughtered. I'm here to tell you that I used to be a pig, and I firmly believe that the only way to achieve long-term superior returns in our industry is to not be one. I truly believe in the magical art of technical analysis.