Entry
"Look at market fluctuations as your friend rather than your enemy; profit from folly rather than participate in it."
– Warren Buffett
Great poker players do not play their hand. They play other players' hands. To be successful, you need to systematically tilt probabilities in your favor. Markets happen to be a probabilistic game. The way to achieve greatness is not only to play your hand but the market's invisible hand as well.
The first way to play the market's hand is something we saw in Chapter 5, Regime Definition. Let the market decide on which side stocks should go. Let's be honest for one second. Market participants who short bubbly stocks are repressed revenge traders. Deep down, they are angry at their shadow selves for not participating on the long side. Maybe they closed out too early. Maybe they dismissed that boat altogether. Either way, they vent their frustration by putting other people's precious...
