Contents For JAN2004

  • Books For Traders by Technical Analysis, Inc.

    ARTICLE SYNOPSIS ...Books For Traders by Technical Analysis, Inc. ? 101 Option Trading Secrets ? MaD cASH: A First Timer's Guide To Investing $30 to $3,000 ? Guide To Financial Markets, 3rd ed. ? All About Market Timing: The Easy Way To Get Started ? Protecting & Rebuilding Your Retirement: Everything You Need To Do To Secure Your Financial Future ? When The Market Moves, Will You Be Ready? How To Profit From Major Market Events ? Financial Strategies For Today's Widow: Coping With the Economic Challenges Of Losing A Spouse ...

  • Boosting Rates Of Return With Noncorrelated Systems by Richard L. Weissman

    ARTICLE SYNOPSIS ...Boosting Rates Of Return With Noncorrelated Systems by Richard L. Weissman Here's how adding noncorrelated assets within a trading system and combining noncorrelated systems can help your trading. Mechanical trading systems offer traders and risk managers a distinct alternative to more commonly used discretionary methods. Many mechanical trading systems use mathematical technical analysis, also defined as the mathematical study of past price history. I will explore methods of improving rates of return using mechanical trading systems without significantly increasing drawdowns. I will demonst...

  • Daytrading With On-Balance Volume by D.W. Davies

    ARTICLE SYNOPSIS ...Daytrading With On-Balance Volume by D.W. Davies Where is the smart money going? Here's how you can find out. On-balance volume (OBV) is a momentum indicator that relates price change to volume. It has proven itself over and over again as an important market trading tool for the intermediateterm investor. It is particularly useful for spotting accumulation or distribution during periods of price consolidation. Most intermediate-term investors include a study of OBV in their research of a potential stock buy or sell. However, it can also be a great aid in the rough-and-tumble world of daytra...

  • Explore Your Options by Tom Gentile

    ARTICLE SYNOPSIS ...Explore Your Options by Tom Gentile EUROPEAN VERSUS AMERICAN At the end of your November 2003 column, you referred to the Europeanstyle settlement, saying that you could sell options without the risk of unexpected early assignment. Could you please explain what you meant by this? --D. Streich There are two types of settlement with options: European style and American style. European options cannot be exercised on any date prior to expiration, though they can be bought and sold at any time. American-style options can be exercised at any time prior to expiration....

Holding Overnight Positions by Anthony Trongone, Ph.D.

  • Identifying Bearish Chart Patterns (II) by Thomas N. Bulkowski

    ARTICLE SYNOPSIS ...Identifying Bearish Chart Patterns (II) by Thomas N. Bulkowski Here's the second and final installment about bearish chart patterns. S omeone I know once made the bold statement that there is a chart pattern for any trend that ends. I don't know if that's true, but here are 10 bearish patterns you should know about. ISLAND REVERSAL Island tops are some of the easiest patterns to recognize. Figure 1 shows an example. Prices gap upward, meander around, then gap down. The gaps align, meaning that they share at least one common price. Thus, price seems to hover like a blimp above the surroundi...

John F. Ehlers Of MESA

  • Letters To The Editor by Technical Analysis, Inc.

    ARTICLE SYNOPSIS ...Letters To The Editor by Technical Analysis, Inc. DISTAFF CONFERENCES? Editor, I just passed my Series 3 test. Is there a conference/ workshop for women in the commodities/futures business? ELIZABETH BRAUN ANDREINI Naples, FL There are several conferences related to the commodities/futures business. I don't know of any that are specifically targeted to women, however. Check with professional women's associations or the Market Technicians Association to find out if they do. -- Editor...

Opening Position

Pivot Levels And The Power of Commonality

Q&A by Don Bright

  • The 40-Week Cycle In The Stock Market by Jay Kaeppel

    ARTICLE SYNOPSIS ...The 40-Week Cycle In The Stock Market by Jay Kaeppel Is the market truly random? Some phenomena related to the stock market would not be expected to exist if the market truly were random. There has been much debate in the investment community regarding the existence of cycles in the markets. Some claim that cosmic forces (a full moon, for instance, or other celestial events) can cause the overall mood of investors to swing from high to low, often on a predictable and repetitive basis. On the other end of the spectrum are those who dismiss such notions as hogwash. Most investor opinions fall ...

The Elliott Wave Vs. The Random Walk In The Battle Of The Century

The Four-Month Rule

Traders Resource Trading Systems

  • Traders' Tips by Technical Analysis, Inc.

    ARTICLE SYNOPSIS ...Traders' Tips by Technical Analysis, Inc. ? TRADESTATION: HOLDING OVERNIGHT POSITIONS Anthony Trongone's article "Holding Overnight Positions" describes a trading strategy called rising darkness, in which trade entries for the cubes (AMEX: QQQ) are based on the oneday percentage change in QQQ price and a comparison of the present day's QQQ volume to historical volume. Four different combinations of price and volume are used as trade entry triggers. When certain conditions are met, this strategy enters trades at the end of the day. (It should be noted that Trongone's article describes enteri...

  • Trading In Tempo With TRIX by Jongseon Kim

    ARTICLE SYNOPSIS ...Trading In Tempo With TRIX by Jongseon Kim Make entry and exit decisions using TRIX. For profitable trading, deciding when to buy and when to sell is one piece of the puzzle. But another, perhaps more important piece is deciding when to trade and when not to trade. When you have no stocks in hand and you're considering purchasing some, you tend to have a more objective perspective about the trend of the stock you're examining. However, after buying the stock, you may lose your objective outlook. Because of this, selling should be weighted more heavily than buying. THE TRIX In this article ...

  • Websites For Traders by David Penn

    ARTICLE SYNOPSIS ...Websites For Traders by David Penn ORIGINALTURTLES.ORG Earlier last year, I completed a website review of TurtleTrader.com (Technical Analysis of STOCKS & COMMODITIES, April 2003). Given the mystery that still surrounds the now-legendary trading experiment of Market Wizards Richard Dennis and William Eckhardt, I thought that TurtleTrader.com was an excellent place for those interested in the Turtle Trading methodology to spend some time studying. In addition to being a site dedicated to the passionate advocacy of the Turtle Trading system, I found TurtleTrader.com to be every bit as much a p...

  • Websites For Traders by Jayanthi Gopalakrishnan

    ARTICLE SYNOPSIS ...Websites For Traders by Jayanthi Gopalakrishnan WWW.DECISIONPOINT.COM If there's one website to visit that has just about every chart you need, it has to be DecisionPoint.com. Within minutes of logging on to this site (Figure 1), all I did was look at charts, charts, and more charts for hours. Subscription to the prime service is available for $20 a month. Once you log in, you will see a long list of sections. The first is the market overview, followed by market indicators, then daily reports and chart books, and finally longterm charts. One look at the opening page after logging in will gi...

Working Money: Buying The Lows, Selling The Highs by David Penn