Topics Covered:

* Trading With The Balance of Probability

* Understanding bar charts

* Finding Trading Opportunities

* Managing Open Positions

* Avoding over trading and how to avoid trading becomnig a gamble

* Using Market Depth

Review

This book would seem to be an extension of Daryl's other works, in particular his book share trading. Almost all of the information is new and the aim of the book rather than introducing basic concepts and indicators is to teach people how to use these indicators to find and manage opportunity.

Starting with the idea of trading with the balance of probability, the book then takes the reader through how to read and make use of a bar chart and how to use support and resistance areas to assess trades with regard to the balance of probability.

Part 2 of the book covers a number of ways that technical analysts can find opportunities in the market including how to scan visually and also how to use the power of charting software to scan the stock exchange quicker.

The section on managing risk is quite good in this book and the methods for position sizing are effective and the most commmonly talked about. One of the areas that is a little different in this book is the discussion on how to use market depth to fine tune entry, few books on technical analysis seem to talk much about this. The last part of section 3 discusses the use of warrants as a method of leverage and is easy to understand

The best part of the book for me was the last section which discussed important aspects that actually affect the performance of trading. These include over trading, having the right character to trade and also trading with maturity and control. Gambler or Trader is the last part of the book and is a great way to check whether your trading is only another way of gambling. If people take this test seriously and look within themselves for the true answers, I think many people would be shocked. I know I was.

Another GREAT book from Daryl Guppy and definitely one of my two favourite Guppy books. The book does assume some rudimentary knowledge of charting or at least the terms and has been written for those who have started or are just about to start trading with technical analysis. I think a wider audience could find value in this book and I notice Daryl suggests that Beginners and experienced people can gain something. This is another of my top 5 Learning Books for beginners to trading.

Rating