Jesse Livermore method (1877-1940), Wall Street's 'Boy Plunger'. Trend following with pyramiding on winning positions.
Livermore is the strategy inspired by Jesse Livermore, considered the greatest trader in Wall Street history. The 'Boy Plunger' made and lost several fortunes in the early 20th century, developing timeless trading principles: wait for 'pivotal points', only trade in the direction of the main trend, and increase position when the trade is winning (pyramiding). Adapted to cryptocurrencies, this strategy seeks the major directional moves of Bitcoin and Ethereum.
Identifies Livermore's 'pivotal points' — key price levels where a breakout signals a major trend change. Entry on pivot breakout with volume. Pyramiding: adds to position as long as trade is profitable (+1/3 position every 5% gain). Stop-loss at last inverted pivot. Exit when the main trend reverses.
Livermore's Pivotal Points (key reversal levels). Volume confirmation (breakout with vol > 2x average). Trend structure (higher highs/lows). Progressive pyramiding. Strict money management (never risk more than 10% of total capital).
High
Captures very large trend moves. Pyramiding multiplies gains on winning trades. Principles tested over 100+ years of markets. Discipline and patience at the core of the method.
Pyramiding also amplifies losses if reversal is brutal. Low win rate (~30-35%) offset by massive gains. Extended drawdowns possible between major moves. Livermore himself ended up bankrupt — proof that discipline is essential.
Explore all 74 trading strategies across 4 arenas
🏟️ View all strategies