Paul Tudor Jones is a legendary trader -- featured in Market Wizards
-- whose approach I'd like to spend a bit more time analyzing here on InformedTrades. There are some extensive videos about him, but they rarely last online before they are taken down for copyright violations; you can find some previous examples, as well as discussions we've had, in our Paul Tudor Jones archive
here on InformedTrades.
Below is one video currently on YouTube that features PTJ and his rise to success in the world of trading.
Some take home points:
1. Paul cuts losses short and lets winners ride, always being quick to put losses behind him.
2. He knows it is time to get concerned when he feels at his top and everything is going his wave.
3. "Debt drives the economy," says PTJ. He relies partially on fundamental analysis and his views on debt and its impact help him gauge long-term cycles. They helped him correctly forecast and profit from the 1987 crash in US equities.
4. He is also a big student of Elliott Wave analysis
5. He uses mental stops for both price and time. Meaning if a price point is reached, he will cut the position and take a loss. Likewise, if an order has not been filled within a given amount of time, it will be closed.
As always, feel free to ask questions or share any insight about PTJ that you may have learned through this video or others about him.