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Strategies & Market Trends : Stock Attack -- A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Chris who wrote (4596)	1/3/1998 7:53:00 PM
From: Robert Graham	Read Replies (1) \| Respond to of 42787

Speaking about "fancier" does not mean "better", I discovered a book that provides a good introduction to TA. It covers only the charting aspects, and does not even cover MAs. But this approach makes room for a very good and more indepth discussion on analyzing each aspect of charting both for its significance on a particular chart, but also techniques that can be used to trade chart formations. This is a very down to earth book in this respect. Also, the author places effort in helping the reader integrate the technical approach into their existing more fundamentally based system. This author does not specifically cover any FA, but covers the subject in relation to TA rather peripherally. The following is covered in this book: S&R, trend lines, reversal patterns, consolidation patterns, and associated topics which evolve into an approach for trading. Also, there is a special section on those "high velocity" stocks and the types of chart patterns these stocks generate. The author, Alexander Paris, covers only the practical aspects of charting in terms of what actually works instead of the theoretical end. In this vein, he offers allot of practical observation and advice in the use of charting and trading with a chart. This book is called "A Complete Guide to Trading Profits". Everything covered here can be very simply understood and preformed by a novice technician even without the aid of a computer. Some technicians think that it is a good idea to manually chart out a stock in order to get a "feel" for the stock's price behavour. At the very least, they think the beginner can benefit from a manual approach to learning about charting. Of course, experience is what will make the difference. So I recommend this book as a very good first read on TA that offers material that provides a solid lead-in to one of the more popular and complete texts to TA. After this book, I recommend to go to the book by John Murphy called "The Visual Investor" which actually does build on what is introduced in this book by Paris without too much of an overlap. Paris in his book does go more into the psychology behind S&R and chart formations than most intoductory texts do. There are even some topics here that I have not found covered most books on TA like that chapter on "High Velocity Stocks". Like I said in earlier posts, if the aspiring technician does not have the basics down, how can they successfully deal with the more advanced concepts of TA such as oscillators and BBs. This text book provides very good coverage of the basics of charting and goes a couple steps further. Its lack of coverage on MAs should not be a problem for a text on charting since MAs is just one technique of other techniques available that is used to determine trend, but which still has its basis in the concepts covered by this book on charting. Like the author, I can see how a technician would be able to develope a successful trading system based just on what is covered in this book. Still, I would at least throw in the MA. Maybe even an oscillator or two. ;) Bob Graham