Are there some ground rules for both trading, investment, and business? Few thought there are but I believe so. Do you want some profit every day? Yes but who could be sure for that? Traders believe they could get the profit everyday or at least losses are much less than the profit. However in no sense there is any rate of return guaranteed to them. We need to know whether we do a good job or a poor job is not to be measured by whether we are plus or minus for the day, month, or year. We need some yardsticks for the means of long term. *** All of us know we should know enough is enough. But what is the enoughness in the stock market? If our record is better than that of these yardsticks, we consider it a good year whether we are plus or minus. If we do poorer, we deserve the damages. Market would follow the economies and share price would follow the performance of the businesses. However sometimes the market does discount or over price everything. You need to get the profit by getting into the market at discount and selling them above the means. There is not a straight line between discount and means. The price could be much lower than the means. You need rebalance your portfolio to lower the cost and hold your position for the market turns its course. You need the vision and gut to hold your position. *** How long would you like to see into? Some believe they should buy and hold forever. Some believe they should close their position everyday. Have you felt some senses of extremes and insanity? Based on my experiences, I much prefer a seven -year test since it should be a period of a intermediate economy cycle. However I feel three years is an absolute minimum for judging performance. It is a certainty that we will have years when all of bums and genius are poorer, perhaps substantially so. We need to look after the profit annually but if any three-year or longer period produces poor results, we all should start looking around for our safety and new chances. Don't mix strategical and tactical methodologies together. Here is about strategies. *** Traders usually are the businesses to predict the market fluctuation and have no senses about economies and businesses. Investors tend to ignore the market fluctuation and then they fail to buy anything in discount. You have to hold some truth for long term if you want to get your fortune with the lucks of everyone has. The fluctuation is the appearance but not the truth why the fortune could be accumulated by us. I would learn to run my trading or investment business for the discount to the means of long term. I would not run my business of predicting general stock market or business fluctuations. Before 2004 I did thing I could run for profit in the waves without knowing the true cause. I do realize I cannot do this and I do realize it is insignificant to an trading or investment program. No one could be very rich in the ruins or at the peak or keep running without home. *** We could not promise ourselves for profit at any given time. But we could and could do to buy at the lowest end of price probability distribution which is far away from the means. If means is the value and I believe it is, we could choose our trading or investment targets on the basis of value, not popularity. We should attempt to bring risk of permanent capital loss to an absolute minimum by obtaining a wide margin of safety in each commitment and a diversity of commitments. Few traders believe they could get 10 bags regularly. Me too. But who bought SIR at $0.06 would be in winning position as FMS, SSN, PRR and so on. Market doesn't crawl but jump. It jumps into deep discount and then jumps to make everyone laughs.