Advanced Charting Techniques for High Probability Trading

1. Auflage 2013
ISBN: 978-1-118-43579-3
Verlag: John Wiley & Sons

Buch, Englisch, 176 Seiten, Format (B × H): 150 mm x 250 mm, Gewicht: 408 g

Reihe: Wiley Trading Series

An all-star team of trading experts describe an array of proven charting techniques to bolster any portfolio

*Purchase includes a 30-day free trial of Advanced Charting Platinum Selections software and generate returns of up to 3 percent per day.* There are over 175 recognized technical indicators that have been developed by traders, mathematicians and chartists to help traders make more accurate predictions about the price movements of individual securities, asset classes and the market as a whole. These technical indicators are never used alone but applied in various combinations. Developed and tested over many years by the authors, the highly reliable strategies described in this book combine a variety of charting techniques, which, when used in conjunction, have been shown to yield extremely accurate predictions about a stock's movements through the four cyclical phases of Birth, Momentum, Exhaustion and Death.
* You get powerful strategies, using a range of technical indicators, guaranteed to significantly improve your ability to more accurately--and profitably--time buy, hold and sell decisions
* The material in this book is currently required reading for the authors' prestigious Compound Stock Earnings (CSE) charting course
* Includes a special link to the main CSE website where you'll find a treasure trove of additional content, updates, and instructional videos and podcasts
* Provides valuable insights and information about the Covered Call approach to trading, a style about which Joseph R. Hooper is an internationally recognized expert

Autoren/Hrsg.

Hooper, Joseph R.

Zalewski, Aaron R.

Watanabe, Edwin L.

Fachgebiete

• Wirtschaftswissenschaften Volkswirtschaftslehre Internationale Wirtschaft Internationale Finanzmärkte
• Wirtschaftswissenschaften Finanzsektor & Finanzdienstleistungen Internationale Finanzmärkte
• Wirtschaftswissenschaften Finanzsektor & Finanzdienstleistungen Börse, Rohstoffe

Inhaltsverzeichnis

Preface xiii

Chapter 1: Introduction to Advanced Charting 1

Why Use Charting? 2

Advanced Charting Techniques 4

Validating the V 6

Advanced Charting Upper and Lower Indicators 6

Chapter 2: Straight-Line Chart 9

Straight-Line Charting/Parallel Channels 11

Chapter 3: Direction of a Trend 13

Four Phases of a Cycle 15

Moving Averages Defined 18

Moving Average 1: Lead MA1 (White) M1 19

Moving Average 2: M2 (Green) 27

Moving Average 3: M3 (Blue) 30

Chapter 4: Moving Average Crossovers 33

M1 (White) Crossing M2 (Green) 33

M1 (White) Crossing M2 (Green) and Then Crossing M3 (Blue) 35

12 Key Points of M1, M2, and M3 Crossovers 35

Supplementary Moving Averages 44

Chapter 5: Bollinger Bands, PSAR, Channels, Zones, and FTL 51

PSAR 54

Channel Indicators: C1, C2, C3 57

Zones 59

Friday Target Line 61

Chapter 6: Putting It All Together: MAs and the BBs 63

Window 1-Chart 1 Analysis 67

Chapter 7: Lower Chart Indicators L1 through L4 71

Defining the Lower Chart Indicators 73

Chapter 8: The Second Chart: Window 2-Chart 2 85

Modified Candlestick 85

Understanding the Modified Candlestick 87

Pivot Points: Support and Resistance 94

Lower Indicators: L5 to L8 95

Chapter 9: Recap of Advanced Charting 105

Entering New Positions on the Roll Up above M2 106

Roll Up Below M2 107

Touch/Convergence: Example 1 108

Touch/Convergence: Example 2 108

True V/Double V 109

The 10-Cent Rule 109

Entering New Position on the Roll Up 110

Upward Momentum Confirmed 111

Exit the Position When Price Tic Falls through M1 111

TSS for Income 111

TSS: Stacked Up with M1 Rolling Down 112

TSS: Upward Moving M1 and Roll at M2 113

When to Buy Back a TSS 114

Chapter 10: RS: Advanced Charting Relative Strength Indicator 117

Comparing the Relative Strengths 119

Conclusion 122

Chapter 11: Momentum Trading and Trading the Moment 123

Momentum Trades 124

Tomato Fields 126

Recap of the Momentum Trade 127

Trading the Moment 128

About the Authors 137

30-Day Free Trial 139

Index 141

Über Autor(innen)

Joseph R. Hooper has been a property developer, stockbroker, and bank owner. He is the founder of Compound Stock Earnings and is now a financial educator, radio talk show host, and one of the world's foremost experts on covered calls. In the early 1980s, Hooper formed a bank holding company, purchased banks, directed their operations, and then sold them in the early 1990s. Later, he joined Merrill Lynch as a private client advisor, using his Covered Calls technique for client accounts.

Aaron R. Zalewski has a background in the finance industry, where he worked as an analyst within the investment banking industry. Zalewski left that profession to pursue a career as a full-time investor and is now Director at Compound Stock Earnings. He co-host's Compound Stock Earnings' weekly financial talk-back radio program, Unconventional Wi$dom--The CSE Investment Show, and is coauthor of the book Covered Calls and LEAPS: A Wealth Option.

Edwin L. Watanabe retired after thirty years in the commercial design business after learning the Covered Call and LEAPS techniques from Compound Stock Earning's principals, Joseph Hooper and Aaron Zalewski. During his thirty years in business, Ed traded as a hobby and, like many, pursued the frustrating task of trying to find a technical analysis method that consistently worked. While using the CSE Covered Call and LEAPS techniques for retirement income, Ed found himself with ample time to revisit the technical analysis methods that had frustrated him for thirty years. What followed was a three-year odyssey where he reformulated, tested, and back-tested thousands of combinations of indicators. Finally, he stumbled across a combination that consistently worked and began applying that combination to his Covered Call and LEAPS trading--with staggering results. Ed was averaging the highest monthly returns of any of the thousands of successful traders taught by Compound Stock Earnings.

After sharing this new methodology with CSE principals Joseph Hooper and Aaron Zalewski, Advanced Charting became part of the CSE curriculum and has now been taught and applied successfully by thousands of CSE traders. Ed is now Director of CSE's Advanced Charting program, teaching the CSE 2-Day Advanced Charting Seminar and running the CSE Advanced Charting Platinum Selections service. Ed's teachings have now been responsible for the creation of many millionaires and have allowed thousands of CSE clients to retire earlier than they ever thought possible.