Professional Trading Techniques

DISCLAIMER Introduction The Nature of The Game Trading With The Edge Principles of Price Behavior Principle One: A Trend Has a Higher Probability of Continuation than Reversal Principle Two: Momentum Precedes Price Principle Three: Trends End in a Climax Principle Four: The Market Alternates between Range Expansion and Range Contraction! BASIC MARKET STRUCTURE Defining the Trend Technical Indicators 20-PERIOD EXPONENTIAL MOVING AVERAGE KELTNER CHANNELS OSCILLATORS The 3/10 OSCILLATOR THE PRICE PULSE TRADING PATTERNS USING THE 3/10 OSCILLATOR FIRST CROSS BUY/SELL INTERMEDIATE BUY/SELL 3/10 ANTI 10-BAR DIVERGENCE SIGNAL ADX Charts for Basic Market Structure Charts for Technical Indicators Tape Reading PIVOT POINTS OPENING PRICE PREVIOUS DAY’S HIGH AND LOW LAST HOUR HIGH AND LOW FIRST HOUR HIGH AND LOW THE CLOSING HOUR Charts for Tape Reading and Pivot Points SWING TRADING CONCEPTS AND TRADING STRATEGIES SHORT-TERM TENDENCIES AND RHYTHMN TRADE EXECUTION TRADE MANAGEMENT and EXITING A POSITION STOPS RISK and MONEY MANAGEMENT BASIC BUSINESS PLAN PSYCHOLOGY CONCENTRATION SLUMP BUSTING STAYING IN THE GAME MENTALLY MENTAL TOUGHNESS WHEN THINGS GO BAD Putting it all together Nightly Preparation The Trading Day Appendices Appendix A - CONCENTRATION Appendix B - DAYTRADING S&P FUTURES Appendix C - The Forefathers of Swing Trading Appendix D - Notes from a Swing Trader Appendix E - SWING TRADING: RULES AND PHILOSOPHY Appendix F - THE MENTAL ASPECT OF TRADING Appendix G - Tape Reading Appendix H - TREND DAYS Appendix I - Time Tested Classic Trading Rules for the Modern Trader DISCLAIMER