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That video you posted of Greg Riba is the most highly condensed manual I've ever seen on trading, but it needs interpreting.  Every word in it is rich with meaning.  Livermore's story is another, but spread over many pages.  Rags to riches to rags to riches over and over.  Did his understanding of markets ever differ that much from the first round of riches?

"Livermore sometimes did not follow his own rules strictly. He claimed that his lack of adherence to his own rules was the main reason for his losses after making his 1907 and 1929 fortunes". (wikipedia)

So if he knew it, and it was so obvious, why did he keep on doing it?  Same reason Riba did.  Same reason we all do.

The subconscious craves consistency, and whatever you are feeling will strongly seek confirmation in the external world.  If one day you feel like ****, your mind will only be able to see bad trades... even if they are the correct set up according to backtests, they will still go badly.  If you feel great, you almost need no system because everything just works.  Mood is the single biggest determinant of decision-making ability, which is why I always enjoyed the humour on your thread.  Serious attitudes wreck the vibe.  Talk like "where's your stop?" need to be worked out offline, imo.