The Profitable Art and Science

1. Auflage 2011
ISBN: 978-0-470-82874-8
Verlag: Wiley

Buch, Englisch, 288 Seiten, Format (B × H): 157 mm x 235 mm, Gewicht: 540 g

Reihe: Wiley Trading Series

Author Mark Lim introduces his proprietary Vibratrading(TM) system for equity traders and investors

Vibratrading introduces a new and revolutionary perspective to trading and investing, with a powerful methodology to extract profit in every type of market environment. It is a non-directional methodology that will appeal greatly to the vast amount of directional traders who consistently struggle to keep from losing their trading account. It provides a better and indeed safer way to participate in the markets for consistent profits. You now have the unfair advantage.

Autoren/Hrsg.

Lim, Mark Andrew

Fachgebiete

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

Inhaltsverzeichnis

Acknowledgments

Introduction

CHAPTER 1 Challenges to Conventional Trading and Investing

Directional vs. Non-Directional Methodology
Problem of Maintaining Long-Term Consistent Positive Expectancy
Predictive vs. Reactive Approaches to Risk in Trading
Trader Inactivity and Volatile Price Activity
Subjectivity vs. Objectivity in Trading and Investing
Filtering and Trade Signals

CHAPTER 2 Understanding the Basics of Order Entry
Common Trading Terminology and Definitions
Common Orders
Entry Orders for Bounded Vibrational Trading

CHAPTER 3 The Objectives of Vibratrading
Vibratrading as an Income Strategy
Introduction to the Components of Vibratrading
Main Components of Vibratrading
Meaning of the SISO and SOSI Acronyms
Basic Scaling Entries and Exits

CHAPTER 4 Controlling Risk in Vibratrading
Types of Risk
Risk Control Mechanisms

CHAPTER 5 The Mechanics of Equity-Based Price Action
Equity-Based Calculations
Market Value vs. Profit Potential
Price Leverage Ratio (PLR)
Money Leverage Ratio (MLR)
Buying Leverage Ratio (BLR)
Account Leverage Ratio (ALR)
Calculating the Initial and Current Market Value

CHAPTER 6 The Mechanics of Securitization and Monetization
Monetizing in Margin and Non-Margin Accounts
Securitizing Profits and Risk Capital
The Basic Principles of Price Action
The Effects of Negative Spread Bias on Reward to Risk Ratio
Hedged Price Action Principles

CHAPTER 7 The Principles of Boundedness
Capital Boundedness
Directional Boundedness
Range Boundedness
Order Entry Boundedness

CHAPTER 8 The Mechanics and Dynamics of Vibratrading
Vibrational Operations, Mechanisms, and Constructs
The Scale Factor
Capstone Mechanisms
The Macrososi Vibrational Mechanism
Macrosimo Mechanism (Upbuy - Upsell)

CHAPTER 9 Pyramidal-Based Vibrational Mechanisms
Microsiso
Interval Slip-Through
Macrosiso
Extracting Macrosiso Vibrational Profits
The ''Arbitrary'' Vibrational Construct
Upside Bounded Macrosiso and Microsiso
Unbounded Upside Macrosiso Mechanism
Unbounded Hedged Vibrational Constructs

CHAPTER 10 Diversification in Vibratrading
Bounded Versus Unbounded Zero Test Level Event
The Six Levels of Diversification

CHAPTER 11 Volatility Matching
Historical Range Volatility (HRV)
Event Trading (High Volatility Trading)
Range Zoning (Medium to Low Volatility Trading)

CHAPTER 12 Putting It All Together, Finally!
The Return Characteristics of Vibrational Constructs
A Brief Guide to Understanding the Scale Analysis Tables
Introduction to Vibradirectional Techniques
Calculating Working and Running Capital within Vibrational Grids
Free Swing with Constant Capital per Level with Type 1 (Roll to Break-Even)
Gaps in the Grids
The Balance Between Opportunity Cost and Profitability
Free Styling across Multiple Levels without Risk Freeing
Unbounded Bidirectional Profit Capture Constructs
The ''Big Hedge'' Technique
The ''Small Hedge''
The Upside Short Hedge
Zero Cost Hedging Technique for ''Loading the Matrix''
More Constructs
Exiting With Profit

CHAPTER 13 The Vibrational Vehicles
Characteristics of Exchange Traded Funds (ETFs)
Types of Risk Associated with ETFs
Funds to Avoid In Vibrational Trading
The Replicated ETF Portfolio

CHAPTER 14 Comparison with Other Trading Systems
Vibratrading vs. Scale Trading
Vibratrading vs. Dollar Cost Averaging
Vibratrading vs. Value Averaging
Vibratrading vs. Buy and Hold
Vibratrading vs. Directional Trading

CHAPTER 15 Profiting from Non-Vibrational
Flatline Price Action
The Basis for Non-Directionality
Riskless Short Options Trades
Using Short Options in Vibratrading

CHAPTER 16 Summary of Vibratrading
The Two Rules of Vibratrading
A Quick Recap
Choosing a Vibratrading Construct
The Importance of a Balanced Pyramidal Structure
Conclusion

Index

Über Autor(innen)

Lim, Mark Andrew
University of Melbourne, Australia

Mark Andrew Lim graduated in Special Physics from King's College London and was subsequently awarded the Bronwen Wood Memorial Prize in Technical Analysis by the Society of Technical Analysis (UK). His trading expertise includes stocks, CFDs, futures and options. Mark conducts a range of technical analysis and proprietary trading master classes covering intermediate to advanced profit extraction methodologies for both directional and non-directional trading.

Some of Mark's proprietary trading methods include vibrational, bidirectional, reactional, formational, oscillational, exclusional and transformational. He is a contributing author for The Wiley Trading Guide II and can be reached at www.tradermasterclass.com.