Product Description
Charting The Stock Market: The Wyckoff Method, takes a modern look at a seminal way to use technical analysis: the Wyckoff method. Charting The Stock Market presents and explains how to use the Wyckoff method for investing and trading in stocks, bonds, and commodities. This method was first documented by Richard D. Wyckoff (a trader and market forecaster who started in the business in 1888 as a 15-year-old stock runner) and published in the 1930s. Charting The Stock Market applies these classic and time-honored principles to today’s market.
Back to the basics: The Wyckoff method principally uses price charting and volume studies as a means of analyzing and forecasting the stock market. It incorporates a common-sense approach to trading that emphasizes study, practice and risk limitation. It also takes into account investor psychology and provides insight into how and why professional traders buy and sell issues. Charting The Stock Market takes the reader step by step through the Wyckoff method: first, the basic principles; second, examples of the method applied to the bond market; and third, an outline of steps to put the method to use. Details of the Wyckoff method covered in this book include: * point and figure charting * trends * price and volume studies on vertical charts * stop orders * forecasting * wave charts & intraday * group stock behavior * stock selection criteria, and much more …
24 Mar
12:12 pm on March 24th, 2010
This book explains several things that I didnt see elsewere but I have observed in the stock market.
For example, large operator’s manipulation (I have seen operators putting large sell orders only to buy stock with small orders).
The book covers also how to interpret volume, how to construct a position sheet to rank several stocks (in this topic I think the book could have been more detailed), how to use point and figure to project targets, some psicology for traders, etc.
Ah, here you will find no oscillators and no moving averages.
I liked the book. Why did I give it 4 stars and not 5 ?
Because I think certain explanations are ommiting details and the book could have more examples. In position sheet construction, for example, I think Hutson should put some charts explaining why the stock would be in position 1 and not in position 2.
That lack of examples implies you will need to carefully think and rethink about some rules,tips and orientations before devising a methodic way to apply it.
Also I think this book is better if you read it in the reverse order of the authors. Let me explain: The book has 3 authors, first section is written by Hutson, etc… I think the last part is more detailed, so that if I bought the book today, I would start reading the third section (this section is the better of the book in my opinion), then second section and finally first section.
Rating: 4 / 5
2:40 pm on March 24th, 2010
This is a very good book on technical analysis and also gives a great outlook on what is happening in the market. If you understand how the strong-hands are playing the market you can jump on for the ride, and profit!
The section on Price-Volume analysis is priceless and makes this book great. If you can watch and comprehend what is going on by using price and volume, you are head and shoulders above most people that trade. Knowing what the strong-hands in the market are doing, and then joining them, is my favorite way to make money. I can’t move a market, but I am very good at “jumping on the big dogs back” and riding for profit.
The rest of the book was informative, but I have a habit of reading a book and taking the things I like. I like to understand what others in the market are doing, but if it does not resonate with me, or makes my current process more complicated, I do not use it. If you use this book and follow its instructions you will do well. Yes, it is a lot of work, but most successful traders work hard. I have a similar system and Price/volume analysis just makes sense to me. Plus it works well. So use the parts you like.
If you do not have a system you designed, or are not a consistent, profitable trader, you can use the Wyckoff process outlined in this book to be consistent and profitable. The author talks about hand charting and analyzing the data. He says it should take about an hour a day. With the advent of computerized trading and Excel, I can configure the data into charts in seconds, then spend about 15 minutes glancing through them. Then focus a little more time on the areas that look interesting. If under an hour a day is too much work, maybe trading is not what you should be looking at? Anyway, its a great book that will give you a more detailed understanding of what is really happening in the market. Good luck.
Rating: 5 / 5
5:33 pm on March 24th, 2010
This is, in my opinion, one of the best technical analysis books out there.
The approach of Richard Wyckoff was developed in the beginning of the century and it still applies. He shows you, in great details, how through price, volume and trend lines you can identify what a stock is doing and what it is about to do. And he did all of it by hand!!!
The system is pure and, if combined with other indicators, moving averages, etc. can be powerful.
The book is full of technical information. It is condensed, not an easy read but worth every penny and it is one of the least expensive books out there.
I highly recommend it.
Rating: 5 / 5
6:14 pm on March 24th, 2010
Being new to Wyckoff I have no basis to compare this book to others on the same subject. However I enjoyed the subject matter and found the contents very interesting. Will this make me a successfull trader, I don’t think so. I am a great believer in finding your own way to do things after carefull study of other successfull people. This book has given me some ideas to work on which will hopefully give me a better understanding of the price movement of markets. All in all well worth the money I paid.
Rating: 5 / 5
7:01 pm on March 24th, 2010
I’ve never bought or read this book. I’m researching it to potentially buy it, and ran across the table of contents posted on the Traders Press web site. In case it is useful to others, posting here:
Table of Contents
Preface
Part I: Principles of the Wyckoff Method
by Jack K. Hutson
The Early Days
Elements of Charting
Market Trends in Composite Averages
Understanding Group Stock Behavior
Prelude to Individual Chart Reading
Figure Charts
Effective Forecasting
Trendlines: Refinements in Charting
Selecting the Best Individual Stocks
Refining Chart Analysis
Maximizing Profits with Stop Orders
Intraday Swings with Wave Charts
Serving an Apprenticeship
Developing a Personal Trading Style
Market Strategy
Part II: The Wyckoff Method in Action
by David H. Weis
The Wyckoff Method and Bond Futures
Anatomy of a Market Move
Part III: The Wyckoff Method: Five Steps to Success
by Craig F. Schroeder
Determining Trend
Relative Strength and Weakness
Identifying Opportunities
Buying and Selling Tests
Timing Your Commitments
Glossary
List of Figures
Index
Rating: 3 / 5