Threei,
I don't think that ET Chats are solely for advertisers... I think an ET Chat by you would be great... I suggest that you speak with Baron about it...
Candle
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techniques of tape reading
- Thread starter paulus
- Start date
Threei,
I don't think that ET Chats are solely for advertisers... I think an ET Chat by you would be great... I suggest that you speak with Baron about it...
Candle
i've read most of the book the past 2 days, so i feel i can comment on it.
first, i've read posts from vadym / chris for a while, on SI and (when i subscribed; couldn't stand subsidizing cramer) TSCM. they both come across as honest, helpful people.
my personal career pattern (the 4 stages, as vadym calls it) has followed vadym's almost parallel, just at a different point in life. i had to get out of the having-a-fulltime-job (security) while swing trading in a bull market mentality, and into the "this IS your job" mentality. i did.
the first 90 pages or so of the book are devoted to vadym's history, background, mistakes he's made, some general psychology stuff, and namedropping some old but amazing books that don't get referenced enough in modern financial books. i wish this had been smaller, but i understand the rationale - trying to get new readers into the book.
much of the rest of the book is examples (using what's there in the front of the book) primarily focused around technical analysis / exhaustion / capitulation principles. this is where the book kicks in, with plenty of examples. the authors show not only the good times that everything worked fine, but times they could have made more money but would have violated their system, etc. as well as losses.
in addition, they discuss the very-real slippage (usually not mentioned in equities books), the size problem (i remember the NTIQ capitulation discussed in there) and much more. one other note: the book is intraday scalp mode, though the ideas can be used in larger time frames.
for an experienced and successful trader, there's likely nothing new in here. but for a novice, or someone struggling to gain their footing, it's quite good.
as an aside - there's something chris penned 1-2 years ago (which i printed out at that time) which completely reflects how i make it. it talks about how everyone needs to find 'their' edge...and i was glad to see it in the book.
first, i've read posts from vadym / chris for a while, on SI and (when i subscribed; couldn't stand subsidizing cramer) TSCM. they both come across as honest, helpful people.
my personal career pattern (the 4 stages, as vadym calls it) has followed vadym's almost parallel, just at a different point in life. i had to get out of the having-a-fulltime-job (security) while swing trading in a bull market mentality, and into the "this IS your job" mentality. i did.
the first 90 pages or so of the book are devoted to vadym's history, background, mistakes he's made, some general psychology stuff, and namedropping some old but amazing books that don't get referenced enough in modern financial books. i wish this had been smaller, but i understand the rationale - trying to get new readers into the book.
much of the rest of the book is examples (using what's there in the front of the book) primarily focused around technical analysis / exhaustion / capitulation principles. this is where the book kicks in, with plenty of examples. the authors show not only the good times that everything worked fine, but times they could have made more money but would have violated their system, etc. as well as losses.
in addition, they discuss the very-real slippage (usually not mentioned in equities books), the size problem (i remember the NTIQ capitulation discussed in there) and much more. one other note: the book is intraday scalp mode, though the ideas can be used in larger time frames.
for an experienced and successful trader, there's likely nothing new in here. but for a novice, or someone struggling to gain their footing, it's quite good.
as an aside - there's something chris penned 1-2 years ago (which i printed out at that time) which completely reflects how i make it. it talks about how everyone needs to find 'their' edge...and i was glad to see it in the book.
heh... I wish I could explain why the list of recommended reading we submitted never appeared in the book. Don't know whose sloppiness caused this, but anyway, I guess it won't hurt to paste it here:
Edwin Lefevre, Reminiscences of a Stock Operator, John Wiley & Sons; 1994
Humphrey B. Neill, Tape Reading & Market Tactics, Fraser Publishing Co.; September 1997
Alan S. Farley, Master Swing Trader, McGraw-Hill Trade; 2000
Mark Douglas, Trading in the Zone, Prentice Hall Press; 2001
Richard McCall, The Way of the Warrior-Trader, McGraw-Hill Trade; 1997
Robert Koppel, The Tao of Trading, Dearborn Trade Publishing; 1998
Robert Koppel, The Intuitive Trader, John Wiley & Sons; 1996
Edward Allen Toppel, Zen in the Markets, Warner Books; 1992
Justin Mamis, The Nature of Risk, Fraser Publishing Co.; 1999
Edwin Lefevre, Reminiscences of a Stock Operator, John Wiley & Sons; 1994
Humphrey B. Neill, Tape Reading & Market Tactics, Fraser Publishing Co.; September 1997
Alan S. Farley, Master Swing Trader, McGraw-Hill Trade; 2000
Mark Douglas, Trading in the Zone, Prentice Hall Press; 2001
Richard McCall, The Way of the Warrior-Trader, McGraw-Hill Trade; 1997
Robert Koppel, The Tao of Trading, Dearborn Trade Publishing; 1998
Robert Koppel, The Intuitive Trader, John Wiley & Sons; 1996
Edward Allen Toppel, Zen in the Markets, Warner Books; 1992
Justin Mamis, The Nature of Risk, Fraser Publishing Co.; 1999
another EXCELLENT book on tape reading that no one mentions is "The Fascinating Art of Tape Reading: Ticker Technique" by Orline D. Foster. it's one of those books that is out of print and hard to come by. check your library for an interlibrary loan or use one of the "rare" books website to purchase one.
i just got threei's book and read the first half. the mental/psychology of trading part was a good start as i was able to relate to some of the trading examples (i.e., asking others of their opinions to find comfort in a trade that had gone wrong, but too afraid to hit the sell button).
good book so far...betting it will get better in the second half. nice job threei.
i just got threei's book and read the first half. the mental/psychology of trading part was a good start as i was able to relate to some of the trading examples (i.e., asking others of their opinions to find comfort in a trade that had gone wrong, but too afraid to hit the sell button).
good book so far...betting it will get better in the second half. nice job threei.
I have well over a hundred trading books. I just bought this one. Well worth having. Good job guys.
Agree, it's a good book for new traders.... I just got it yesterday, read through it today ... plenty of helpful tips regarding mental and psychology of trading types of tips....
it's something I'd feel comfortable recommending for traders looking to learn more about the overall approach to trading and especially risk management ... you share helpful tips and insights that newer traders, eg in their first year or two, would find helpful.
the only area for improvement I'd state is, I'd say that it doesn't really cover technical "tape reading" strategies by my definition, eg I didn't see techniques for using time and sales patterns (transaction flow using a time/sales window) to identify breakouts... eg using blocks, tape speed, reading time and price patterns using the tape... that's tape reading in my opinion.
based on the title, I would've liked to see specific tape reading strategies.. perhaps it's just how you vs I define tape reading... my definition is hard-core technical tape reading, eg "what do you see during the last 2-3 minutes transaction flow in NVLS as it takes out a 2d high" type of technical pattern reading...
for the sequel (?) I'd recommend more on the technical aspects of tape reading and less text/prose... eg more charts and technical patterns... like rudd's/oz's/nison's books..
Anyways, overall it's a useful book and I'd recommend it for new traders, nice job guys. The autobio prose in the beginning is likely resonant with traders who are beginning their journey along the path, and is something they could relate to. The insights in later chapters are helpful as well.
Overall rating 7.7/10. Good work, guys. I know it's a lot of work to get a book out. It adds to the trading scene, worthwhile. +
ken
it's something I'd feel comfortable recommending for traders looking to learn more about the overall approach to trading and especially risk management ... you share helpful tips and insights that newer traders, eg in their first year or two, would find helpful.
the only area for improvement I'd state is, I'd say that it doesn't really cover technical "tape reading" strategies by my definition, eg I didn't see techniques for using time and sales patterns (transaction flow using a time/sales window) to identify breakouts... eg using blocks, tape speed, reading time and price patterns using the tape... that's tape reading in my opinion.
based on the title, I would've liked to see specific tape reading strategies.. perhaps it's just how you vs I define tape reading... my definition is hard-core technical tape reading, eg "what do you see during the last 2-3 minutes transaction flow in NVLS as it takes out a 2d high" type of technical pattern reading...
for the sequel (?) I'd recommend more on the technical aspects of tape reading and less text/prose... eg more charts and technical patterns... like rudd's/oz's/nison's books..
Anyways, overall it's a useful book and I'd recommend it for new traders, nice job guys. The autobio prose in the beginning is likely resonant with traders who are beginning their journey along the path, and is something they could relate to. The insights in later chapters are helpful as well.
Overall rating 7.7/10. Good work, guys. I know it's a lot of work to get a book out. It adds to the trading scene, worthwhile. +
ken