Mechanical Trading Systems. Pairing Trader Psychology with Technical Analysis

An exchange-traded fund (ETF) is a basket of stocks that trades on an exchange with the same simplicity and liquidity of an individual stock. By the end of 2007, 546 ETFs were trading on U.S. exchanges and some 450 were in registration. The total asset growth of ETFs has been equally impressive, doubling every year since 1994 and reaching $5.8 billion in 2007. In Trading ETFs: Gaining an Edge with Technical Analysis money manager Deron Wagner introduces the major types and families of ETFs and then provides step-by-step guidance to picking and trading funds. Benefits of ETFs include: Exposure to equities at a lower level of risk than trading individual stocks Lower fees Access to markets that were previously difficult and expensive to participate in, including: Government Treasury bonds, international markets, commodities and even currencies. Unlike other books on ETFs, Wagner's strategies are based on technical analysis, a method of timing the market that greatly improves an investor's chances of predicting short and intermediate term ETF trends. Benefits of Wagner's approach include: A 'top down' trading strategy that increases an investor's odds of success A method for identifying the strongest sector indexes A method for identifying the ETF families with the greatest relative strength ETFs are as easy to invest in as mutual funds and they will soon be as popular. Wagner's comprehensive catalog of the ETFs now available, his insights into successful trading techniques, and his solid research and informative examples, will be an invaluable resource for everyone trying to come up to speed on this new investment opportunity. Gold Medal Winner (tie), Investing Category, Axiom Business Book Awards (2009)

A comprehensive catalog of exchange-traded funds and insights into successful trading techniques This Second Edition of the bestselling Trading ETFs offers an updated version of the definitive guide to this vital part of the capital markets. It contains numerous new examples of the techniques that author Deron Wagner uses in selecting the most timely ETFs to trade and underscores the core insights of his trading discipline «trade what you see, not what you think.» Written for professionals who are using, or should be using, ETFs as an asset class within their portfolios, as well as the individual investor who wants exposure to wider sectors and geographical regions than those available elsewhere. This revised edition of the classic resource focuses on the pros, cons, and potential pitfalls of trading the latest class of ETFs Includes inversely correlated and leveraged ETFs and the dangers, risks, and benefits associated with each new class of ETF Contains a refresher on the initial concept of ETF selection and new case studies on ideal entry and exit points as well as examples of real trades This thoroughly revised and updated edition offers a «go-to» reference for understanding exchange-traded funds.

For Amazon customers: The new version of the book, printed on higher quality paper, is now available to purchase. The essential futures market reference guide A Complete Guide to the Futures Market is the comprehensive resource for futures traders and analysts. Spanning everything from technical analysis, trading systems, and fundamental analysis to options, spreads, and practical trading principles, A Complete Guide is required reading for any trader or investor who wants to successfully navigate the futures market. Clear, concise, and to the point, this fully revised and updated second edition provides a solid foundation in futures market basics, details key analysis and forecasting techniques, explores advanced trading concepts, and illustrates the practical application of these ideas with hundreds of market examples. A Complete Guide to the Futures Market: Details different trading and analytical approaches, including chart analysis, technical indicators and trading systems, regression analysis, and fundamental market models. Separates misleading market myths from reality. Gives step-by-step instruction for developing and testing original trading ideas and systems. Illustrates a wide range of option strategies, and explains the trading implications of each. Details a wealth of practical trading guidelines and market insights from a recognized trading authority. Trading futures without a firm grasp of this market’s realities and nuances is a recipe for losing money. A Complete Guide to the Futures Market offers serious traders and investors the tools to keep themselves on the right side of the ledger.

Praise for Trading Price Action Trading Ranges «Al Brooks has written a book every day trader should read. On all levels, he has kept trading simple, straightforward, and approachable. By teaching traders that there are no rules, just guidelines, he has allowed basic common sense to once again rule how real traders should approach the market. This is a must-read for any trader that wants to learn his own path to success.» —Noble DraKoln, founder, SpeculatorAcademy.com, and author of Trade Like a Pro and Winning the Trading Game «A great trader once told me that success was a function of focused energy. This mantra is proven by Al Brooks, who left a thriving ophthalmology practice to become a day trader. Al's intense focus on daily price action has made him a successful trader. A born educator, Al also is generous with his time, providing detailed explanations on how he views daily price action and how other traders can implement his ideas with similar focus and dedication. Al's book is no quick read, but an in-depth road map on how he trades today's volatile markets, complete with detailed strategies, real-life examples, and hard-knocks advice.» —Ginger Szala, Publisher and Editorial Director, Futures magazine Over the course of his career, author Al Brooks, a technical analysis contributor to Futures magazine and an independent trader for twenty-five years, has found a way to capture consistent profits regardless of market direction or economic climate. And now, with his new three-book series—which focuses on how to use price action to trade the markets—Brooks takes you step by step through the entire process. In order to put his methodology in perspective, Brooks examined an essential array of price action basics and trends in the first book of this series, Trading Price Action TRENDS. Now, in this second book, Trading Price Action TRADING RANGES, he provides important insights on trading ranges, breakouts, order management, and the mathematics of trading. Page by page, Brooks skillfully addresses how to spot and profit from trading ranges—which most markets are in, most of the time—using the technical analysis of price action. Along the way, he touches on some of the most important aspects of this approach, including trading breakouts, understanding support and resistance, and making the most informed entry and exit decisions possible. Throughout the book, Brooks focuses primarily on 5 minute candle charts—all of which are created with TradeStation—to illustrate basic principles, but also discusses daily and weekly charts. And since he trades more than just E-mini S&P 500 futures, Brooks also details how price action can be used as the basis for trading stocks, forex, Treasury Note futures, and options.

A detailed guide to profiting from trend reversals using the technical analysis of price action The key to being a successful trader is finding a system that works and sticking with it. Author Al Brooks has done just that. By simplifying his trading system and trading only 5-minute price charts he's found a way to capture profits regardless of market direction or economic climate. His first book, Reading Price Charts Bar by Bar, offered an informative examination of his system, but it didn't allow him to get into the real nuts and bolts of the approach. Now, with this new series of books, Brooks takes you step by step through the entire process. By breaking down his trading system into its simplest pieces: institutional piggybacking or trend trading, trading ranges, and transitions or reversals (the focus of this book), this three book series offers access to Brooks' successful methodology. Trading Price Action Reversals reveals the various types of reversals found in today's markets and then takes the time to discuss the specific characteristics of these reversals, so that you can use them in your everyday trading endeavors. While price action analysis works on all time frames, there are different techniques that you can use in trading intraday, daily, weekly and monthly charts. This, among many other issues, is also addressed throughout these pages. Offers insights on how to handle volatility and sharp reversals Covers the concept of using options when trading certain charts Examines how to deal with the emotions that come along with trading Other books in the series include Trading Price Action Trends and Trading Price Action Trading Ranges If you're looking to make the most of your time in today's markets the trading insights found in Trading Price Action Reversals will help you achieve this goal.

A practical guide to profiting from institutional trading trends The key to being a successful trader is finding a system that works and sticking with it. Author Al Brooks has done just that. By simplifying his trading system and trading only 5-minute price charts he's found a way to capture profits regardless of market direction or economic climate. His first book, Reading Price Charts Bar by Bar, offered an informative examination of his system, but it didn't allow him to get into the real nuts and bolts of the approach. Now, with this new series of books, Brooks takes you step by step through the entire process. By breaking down his trading system into its simplest pieces: institutional piggybacking or trend trading (the topic of this particular book in the series), trading ranges, and transitions or reversals, this three book series offers access to Brooks' successful methodology. Price Action Trends Bar by Bar describes in detail what individual bars and combinations of bars can tell a trader about what institutions are doing. This is critical because the key to making money in trading is to piggyback institutions and you cannot do that unless you understand what the charts are telling you about their behavior. This book will allow you to see what type of trend is unfolding, so can use techniques that are specific to that type of trend to place the right trades. Discusses how to profit from institutional trading trends using technical analysis Outlines a detailed and original trading approach developed over the author's successful career as an independent trader Other books in the series include Price Action Trading Ranges Bar by Bar and Price Action Reversals Bar by Bar If you're looking to make the most of your time in today's markets the trading insights found in Price Action Trends Bar by Bar will help you achieve this goal.

The updated edition of the guide to building trading systems that can keep pace with the market The stock market is constantly evolving, and coupled with the new global economic landscape, traders need to radically rethink the way they do business at home and abroad. Enter Building Winning Trading Systems, Second Edition, the all-new incarnation of the established text on getting the most out of the trading world. With technology now a pervasive element of every aspect of trading, the issue has become how to create a new system that meets the demands of the altered financial climate, and how to make it work. Giving voice to the question on every trader and investor's lips, the book asks, «How can we build a trading system that will be paramount for our increasingly stressed markets?» The answer? Establish mechanical trading systems that remove human emotion from the equation and form the cornerstone of a complete trading plan and with greater agility, characteristics that are more important than ever given the kinetic pace of the markets. Presents an all-new strategy for trading systems that will show traders how to create systems that will work in the twenty first century Expert advice from highly respected trading authority, George Pruitt Includes a new website featuring updated TradeStation code and shows how to use the world's best investment software platform to develop and utilize trading systems that really work Once again paving the way for traders who want to adapt to their environment, Building Winning Trading Systems, Second Edition combines expertise in indicator design and system building in one indispensable volume.

A framework for creating volatility-based technical analysis and trading it for profit Volatility-Based Technical Analysis bridges the advantage gap between resource rich institutions and individual traders. It is a no-calculus, plain-English text that reveals original, highly technical, mathematical-based volatility indicators, complete with MetaStock® and TradeStation® code. With this in hand, any trader can «trade the invisible» by seeing a hidden mathematical structure on the price chart. Author Kirk Northington reveals his proprietary volatility indicators that serve as a market early warning system. Northington extensively teaches you how to build your own indicators, test them, and incorporate your original components into your specific trading methods. Walks traders through the mathematical techniques needed to create indicators that fit their own style Illustrates volatility-based entries and exits with over 170 descriptive chart examples Introduces two new concepts in technical analysis: Volatility Shift and PIV Written with the serious trader in mind, Volatility-Based Technical Analysis has what you need to successfully trade today's institutionally dominated markets.

An expert in the field of finance reveals his proven trading system As a trading coach and financial advisor, Bennett McDowell has used his own proprietary trading system–Applied Reality Trading or ART to enhance the performance of his clients' portfolios. Now McDowell outlines the unique benefits of his system and makes the case for trading the reality–not the fantasy–of financial markets. Readers will discover the importance of simplicity in a trading approach; how to develop «The Trader's Mindset;» how to use ART(r) technical analysis software; and much more. The ART of Trading will enlighten readers in how to use reality to enrich both their financial portfolio and their own financial psychology.

Praise for BUILDING WINNING TRADING SYSTEMS with TradeStation (TM) «This book will prove vital to all systematic traders. Pruitt and Hill share a wealth of innovative timing patterns and fully disclosed trading strategies. For TradeStation(TM) users, there are powerful tutorials on indicator design and system building. The authors' vast expertise will benefit even practiced TradeStation(TM) veterans.» -Nelson Freeburg Editor, Formula Research «TradeStation(TM) systems traders will discover a virtual gold mine of knowledge, guidance, and the benefit of vicarious experience from the two foremost experts on the subject in this valuable new addition to trading systems literature. There has long been a notable lack of worthwhile reference material for TradeStation(TM) users, and Building Winning Trading Systems with TradeStation(TM) fills a large void in this area.» -Edward Dobson President, Traders Press, Inc. «Building Winning Trading Systems with TradeStation(TM) is filled with useful information and practical real-world examples. I believe TradeStation 6(TM) users will find it a valuable resource.» -Bill Cruz Co-CEO, TradeStation(TM) Group, Inc.