Comprehensive coverage of the four major trading styles Evolution of a Trader explores the four trading styles that people use when learning to trade or invest in the stock market. Often, beginners enter the stock market by: Buying and holding onto a stock (value investing). That works well until the trend ends or a bear market begins. Then they try Position trading. This is the same as buy-and-hold, except the technique sells positions before a significant trend change occurs. Swing trading follows when traders increase their frequency of trading, trying to catch the short-term up and down swings. Finally, people try Day trading by completing their trades in a single day. This series provides comprehensive coverage of the four trading styles by offering numerous tips, sharing discoveries, and discussing specific trading setups to help you become a successful trader or investor as you journey through each style. Trading Basics takes an in-depth look at money management, stops, support and resistance, and offers dozens of tips every trader should know. Fundamental Analysis and Position Trading discusses when to sell a buy-and-hold position, uncovers which fundamentals work best, and uses them to find stocks that become 10-baggers-stocks that climb by 10 times their original value. Swing and Day Trading reveals methods to time the market swings, including specific trading setups, but it covers the basics as well, such as setting up a home trading office and how much money you can make day trading.
Preface Acknowledgments Chapter 1 Introduction to Swing Trading What is Swing Trading? Who Should Swing Trade? A Swinging Example Looking Ahead Chapter 2 Swinging Techniques Quick Review: Support and Resistance Trendline Trading Trading Using Channels The Three-Bar Net Line Setup First Thrust Pattern for Swing Trading Chapter 3 Swinging Chart Patterns Which Chart Patterns Work Best for Swingers? Trading the High and Tight Flag HTF Trade in Insteel Industries Fishing for Inverted and Ascending Scallops Scallop Trading Tips Twice is Nice: Eve & Eve Double Bottoms Trading Eve & Eve Top 7 Frequently Traded Chart Patterns My Favorite Chart Patterns Swinging Throwbacks and Pullbacks Trading Example CNO Throwback Entry Measuring Swings FTO Trade Chapter 4 Swing Selling Selling Ideas Top 20 Chart Pattern Performers Diamond Tops and Bottoms Complex Head-and-Shoulders Tops My 10 Favorite Sell Signals Trading Example: The Teradyne Exit Trading Example: Exiting Forest Trading Example: Swinging CNO Chapter 5 Event Pattern Setups Common Stock Offerings Setup Surviving a Dead-Cat Bounce The Inverted Dead-Cat Bounce Setup Trading Dutch Auction Tender Offers Earnings Surprise Setup Earnings Flag Setup Stock Upgrades and Downgrades Stock Splits Setup: Trading Reverse Splits Chapter 6 Swinging Tools and Setups The Chart Pattern Indicator The Swing Rule Pump Up the Volume or Not Selecting Winners Using Index Relative Strength 3 Swing Trading Setups Trading Setup: Simple Moving Average Tests The Smile and Frown Setup Trading Smiles and Frowns Smile and Frown Trading Tips Chapter 7 Introduction to Day Trading What is Day Trading? Why Day Trade? Is Day Trading For You? What are the Problems of Day Trading? Chapter 8 Day Trading Basics Managing Expectations: How Much Can You Really Make? Building the Home Office Office Setup Cost Pattern Day Trading Rules Wash Sale Rule 8 Tips for Picking Stocks to Day Trade Price Reversal Times Revealed! What Time Sets Intraday High and Low? Inside Level II Quotes Heartbeat of the Market: Time-and-Sales Ticker Pre-Market Checklist After Market Analysis Chapter 9 Opening Gap Setup Opening Gap Test Data Setup: Fading the Opening Gap Sample Trade Chapter 10 Day Trading Chart Patterns Day Trading Double Tops Day Trading Triple Tops Day Trading Symmetrical Triangles Day Trading Head-and-Shoulders Tops Day Trading Double Bottoms Day Trading Head-and-Shoulders Bottoms Day Trading Triple Bottoms Other Trading Tips Chapter 11 Opening Range Breakout What is Best Range Time? The ORB Setup Does the ORB Setup Work? Chapter 12 Ten Horror Stories This is a Winner, Mom. Buy It! Three Newsletter Disasters Three Option and Warrant Disasters Two Missed Opportunities The $1 Million Surprise Chapter 13 Closing Position Chapter 14 What We Learned Visual Appendix of Chart Patterns Bibliography About the Author Index