The Five Rules for Successful Stock Investing: Morningstar's Guide to Building Wealth and Winning in the Market

Book Description

The Five Rules for Successful Stock Investing

"By resisting both the popular tendency to use gimmicks that oversimplify securities analysis and the academic tendency to use jargon that obfuscates common sense, Pat Dorsey has written a substantial and useful book. His methodology is sound, his examples clear, and his approach timeless."
—Christopher C. Davis Portfolio Manager and Chairman, Davis Advisors

Over the years, people from around the world have turned to Morningstar for strong, independent, and reliable advice. The Five Rules for Successful Stock Investing provides the kind of savvy financial guidance only a company like Morningstar could offer. Based on the philosophy that "investing should be fun, but not a game," this comprehensive guide will put even the most cautious investors back on the right track by helping them pick the right stocks, find great companies, and understand the driving forces behind different industries—without paying too much for their investments.

Written by Morningstar's Director of Stock Analysis, Pat Dorsey, The Five Rules for Successful Stock Investing includes unparalleled stock research and investment strategies covering a wide range of stock-related topics. Investors will profit from such tips as:

How to dig into a financial statement and find hidden gold . . . and deception
How to find great companies that will create shareholder wealth
How to analyze every corner of the market, from banks to health care

Informative and highly accessible, The Five Rules for Successful Stock Investing should be required reading for anyone looking for the right investment opportunities in today's ever-changing market.

Download Description

OVER the years, people from around the world have turned to Morningstar for strong, independent, and reliable advice. The Five Rules for Successful Stock Investing provides the kind of savvy financial guidance only a company like Morningstar could offer. Based on the philosophy that "investing should be fun, but not a game," this comprehensive guide will put even the most cautious investors back on the right track by helping them pick the right stocks, find great companies, and understand the driving forces behind different industries-without paying too much for their investments. Written by Morningstar's Director of Stock Analysis, Pat Dorsey, The Five Rules for Successful Stock Investing includes unparalleled stock research and investment strategies covering a wide range of stock-related topics. Investors will profit from such tips as: How to dig into a financial statement and find hidden gold . . . and deception How to find great companies that will create shareholder wealth How to analyze every corner of the market, from banks to health care Informative and highly accessible, The Five Rules for Successful Stock Investing should be required reading for anyone looking for the right investment opportunities in today's ever-changing market.

Customer Reviews:

Great, easy to read book........2007-06-27

Does not get too bogged down in details and tells you what you need to know. at the same time, if you want to know the details, this book gives you a helping hand and points you to places where you can become even more knowledgable.

KHALID, from Kuwait.......2007-05-30

I have tried a lot of investing books but never been so lucky to have one of this kind. a very neat explanation and step by step guide for novel investors. I would recommend this book for any one who would like to step his or her first steps toward right investing career. a second step is always little easier than the first one, I would like you to read and understand what Pat Dorsey is trying to explain to you and then you may expand your knowledge with more in-depth finance/investing books.

Good luck for your investing.

good book.......2007-04-20

I bought this book because I wanted to understand every detail of fundamentals. Author did not describe all lines that are in income statement, balance sheet, and cash flow and he jumps around a little bit. I think book has useful reminders how to better read SEC filings and what to look for. Companies author mentions are in completely different place today and that gives us all reminder that things are not written in stone and changes comes quickly. Writting useful book on this topic is not an easy task, so I would recommend this book as supplemental reading. You might find here some useful information.

Excellent Book For People Comfortable With Math.......2007-04-03

Dorsey is one of the people behind the Morningstar system for evaluating mutual funds, stocks and electronically traded funds - the system that has made Morningstar one of the most respected names in investing.

Dorsey presents the nitty-gritty of investing in this book. Most of the book is very understandable, and is the perfect book for anyone wanting to learn how to invest effectively in the stock market. There is probably no better general introduction to investing on the market.

The only difficulty is the material from chapters 3 - 6, where Dorsey explains the math and concepts behind all of the letters you see when you look at market information (like P/E Ratio, P/S Ratio, ROI, ROE, etc.). It can be a bit intimidating, but (a) you can read the book and skip these chapters with no problem, and (b) it is worth the effort to at least look at the math, since Dorsey tells you what figures are helpful, what figures are not, what figures are very important in evaluating an investment, and what figures are misleading.

Before you invest $10 in the market, spend the money on this book. Your portfolio will love you for it.

Book that will give you basis for your decision.......2007-04-02

This is by far the best stock market book I read. I read a lot of good books, Intelligent Investor, One up on wall street. The Warren Buffett Way, The Essays of Warren Buffett, The little book that beats the market, and this is by far the most helpful ccause it guides you step by step and it really goes into details. Most of the books just narrates with generalities. I really like the part where it teaches you how to look look at the income statement, balance sheet and cash flow, how to compute the future cash flow and get its present value and how to compute the intrinsic value. After discusing the procedures, it completes it with real life example the goes tru step by step. After each chapter, theres a summary. Highly Recommended!

Trading in the Zone: Master the Market with Confidence, Discipline and a Winning Attitude

Average customer rating:

Trading in the Zone a Winner
Worth nothing.
Excellent Trader Psychology
full of sounds and words
A must read for any trader!

Trading in the Zone: Master the Market with Confidence, Discipline and a Winning Attitude
Mark Douglas
Manufacturer: Prentice Hall Press
ProductGroup: Book
Binding: Hardcover

General | Popular Economics | Business & Investing | Subjects | Books

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Introduction | Investing | Business & Investing | Subjects | Books

Stocks | Investing | Business & Investing | Subjects | Books

General | Personal Finance | Business & Investing | Subjects | Books
ASIN: 0735201447
Release Date: 2001-01-02

Book Description

Maximizing the trader's state of mind is the key to successful results. Conflicts, contradictions and paradoxes in thinking can spell disaster for even a highly motivated, astute and well grounded trader. Mark Douglas, a trader, personal trading coach, and industry consultant since 1982, sends the message that "thinking strategy" will profoundly influence a trader's success rate. Douglas addresses five very specific issues to give traders the insight and understanding about themselves that will make them consistent winners in the market.

Trading In The Zone offers specific solutions to the “people factor” of commodity price movement. It uncovers the true culprit for lack of consistency when it comes to stock picking: lack of focus and self-confidence. Through simple exercises, traders will learn how to think in terms of probabilities, and adopt the specific beliefs necessary to developing a winner's mindset. Along the way, they'll gain valuable insights into their own entrenched misconceptions about the market.

Backed by compelling examples, Trading In The Zone adds a new dimension to getting an edge on the market. Through a better understanding of themselves, as well as of Wall Street's realities, traders will come to leverage the power of their psyche for unprecedented profitability.

Customer Reviews:

Trading in the Zone a Winner.......2007-10-22

If you are serious about getting yourself right to enter the world of trading in the markets, this book is a must. If you are just looking for more technical information on market analysis, this is not the place. This is the place for the person who really wants to be consistent with their approach to trading and is ready to realise that it all begins with what is going on inside each of us as individuals. The author breaks down much of the psychobabble around motivation and gives some tangible and useful information that can be implemented by anyone who chooses to improve their trading regime. Definitely on the recommended list.

Worth nothing........2007-10-17

There are too many useless concepts which a real trader will never care about. There is so much jargons and text without substance. Concepts that are up in the air, with no real world application. I do not know about you, but totally useless for me. If you really study the entire book, you will never trade. You will be confused as what to do.

Moreover it seems that the author just tried to fill the book, and had run out of concepts.... in trading terms, this book is way too overvalued but under-performing.

Excellent Trader Psychology.......2007-09-26

An important book that does a good job of addressing the whole mental game of trading. Mark S. explains what it takes and how to do it. I highly recommend this book for anyone trading.

full of sounds and words.......2007-09-18

but like the tale by shakespeare's idiot, signifying nothing. that a trader needs discipline, a fully developed tool set, and self awareness are trivialities. get a book on trading psychology that WILL help you: the psychology of trading.

sorry, but i'm getting really tired of books that promise all and deliver little, are expensive, and parade insignificance behind promising titles.

tlt

A must read for any trader!.......2007-09-17

I have read many books on trading, and often they mention things like developing discipline or focus, but never go into "how to develop it" or into the behaviors we may exhibit in the market, like our nervousness to enter and exit a trade, when a stop-loss has been activated. By far, this is one of the best books on trading I have read, and will forever be one of the top 5 books on my shelf of trading books.

One thing that this book brings forth, very clearly, is that trading is a probability game, and that by developing a trading system, you develop a slight probabilistic edge, and that when you keep all variables constant, and trade using your system, then like a casino in Vegas, the odds will be with you.

How to Make Money in Stocks: A Winning System in Good Times or Bad

Average customer rating:

Championship Stock Trading Methods Revealed
Interesting but not great
Study This Book
Hybrid Investing 101
Wish I read this 10 years ago

How to Make Money in Stocks: A Winning System in Good Times or Bad
William J. O'Neil
Manufacturer: McGraw-Hill Companies
ProductGroup: Book
Binding: Paperback

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Similar Items:

The Successful Investor: What 80 Million People Need to Know to Invest Profitably and Avoid Big Losses
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How I Made $2,000,000 In The Stock Market
How to Make Money Selling Stocks Short (Wiley Trading)

ASIN: 0070480176

Amazon.com

From the school of unemotional investing comes the classic How to Make Money in Stocks, by Wall Street analyst and publisher William O'Neil. Readers new to securities will find it an excellent primer, one that relies on time-honored indicators such as quarterly earnings, market capitalization, and daily indexes. O'Neil's study of winning stocks stretches back to the 1960s, and he shares his insights here, describing what characterizes a growth stock, when to cut your losses (at 7 or 8 percent, no more), and how to spot a market top.

The techniques in How to Make Money in Stocks are hardly revolutionary, but therein lies their strength, as O'Neil claims his is "a winning system in good times or bad." Investors interested in Net stocks might be disappointed--the author's first rule is that a company must show a pattern of growing profits, which disqualifies many dot coms. (Try Rule Breakers, Rule Makers for a different take.) O'Neil's approach to stocks is, above all, rational, and he pays little heed to market hype.

Those new to investing would do well to read this book before embarking, and even more seasoned traders may find How to Make Money in Stocks a refreshing return to basics. Markets may swing bull and bear, but O'Neil promises to stand firm. --Demian McLean

Book Description

William J. O'Neil's proven investment advice has earned him millions of loyal followers. And his signature bestseller, How to Make Money in Stocks, contains all the guidance readers need on the entire investment processfrom picking a broker to diversifying a portfolio to making a million in mutual funds. For self-directed investors of all ages and expertise, William J. O'Neil's proven CAN SLIM investment strategy is helping those who follow O'Neil to select winning stocks and create a more powerful portfolio. Based on a 40-year study of the most successful stocks of all time, CAN SLIM is an easy-to-use tool for picking the winners and reducing risk in today's volatile economic environment.

Customer Reviews:

Championship Stock Trading Methods Revealed.......2007-10-17

I'll heard about this book years ago, but dismissed it because of it's title. But, I learned that someone named David Ryan won three investing championships with real money using the methods revealed in this book. And I wanted to start trading in the stock market again, but this time I wanted to learn a method that will help me be successful for a change.

I think that if you are new to investing in the stock market and would like to learn a good way to get started, then this book "How To Make Money In Stocks," by William O'Neil is a good guide.

You will learn all about the CANSLIM rules for selecting stocks that are about to make the big price moves. Also included is advice on buying only when a stock is making new highs or breaking out on big volume and cutting your loses short to protect your funds if you're wrong.

It shows you the five basic chart patterns that you should look for in a stock that is about to take off. And these patterns will help you buy at the right price.

The last few chapters are devoted to the features of Investor's Business Daily, which will help you find and track stocks that match the characteristics of the CANSLIM method.

I actually order this book at a local Borders -- paying full price -- because I didn't want to wait for the mail. I was in a hurry to learn how to use Investors.com -- one of the websites of Investors' Business Daily which I have subscribed too.

Interesting but not great.......2007-09-13

I'm new to investing but have read 7 books in the last couple of months on investing and financial statement analysis. These other books (the intelligent investor etc.) are more focused on value investing and tend to dissuade from considering stocks at all time highs. So it was interesting to read a different approach and this book would certainly make me consider looking at more growth stocks. It was also good to get some basics on chart interpretation which I think will prove useful. The downside is that the book (like all his books from looking at other reviews) focuses too much on IBD his website/newspaper, also the explanations for interpreting the charts was not really thorough enough, also a lot of the charts that he advised not to buy on did not look all that dissimilar in places to charts that he advised were good buys - its easy to go back in hindsight on the ones that didn't take off in price and pick holes into why they didn't.
Also his guide to selling at 7% to 8% below your buy price seems a bit extreme - maybe this is just for high risk growth stock buys but in general given the nature of the market most stock fluctuate far more and could be down 8% over a week to recover to the same of higher level the following week. If you sold every time as he suggests you'd constantly be selling and trying to find new stocks to buy.
He seemingly derides the value investing concept which is odd as some of the best investors of all time followed this approach - Buffett & Graham and their disciples being the obvious ones. Overall an interesting read for a different perspective and introduction to chart interpretation.

Study This Book.......2007-09-08

This book is very easy and most interesting to read. The author, Wm. O'Neil is the founder of Investor Business Daily newspaper, which I have always considered the best financial newspaper.
If you are willing to "study" and learn rather than just read this book, You will make money in stocks.
I use this book and Jim Cramer's 'Real money' and 'Mad Money' books daily (almost like text books) to study, learn and apply what I learn.

Hybrid Investing 101.......2007-07-27

An excellent book on how to use both fundamental and technical analysis together to produce big profits. William J O neal is a great author.

Wish I read this 10 years ago.......2007-06-08

Great book. Sound concepts that work. Yes, I subscribe to the paper (IBD) and use his rules. I'm up over 30% in a solid bull market over the last 4 months without being fully invested. When the market pulls back, my stocks also pull back, but when the market is up, my stocks tend to go up hard.

I find that I do better when I pyramid up after a bounce off the 50-day rather than every 2% or round number like promoted by Darvas. It's a good book worth underlining and scribbling all over the margins.

The Trader's Edge: Cashing in on the Winning Strategies of Floor Traders, Commercial and Market Traders

Average customer rating:

Belongs on every trader's bookshelf
excellent book for stock and commodity traders or wannabes
i made money the first day i read the book.grant is great

The Trader's Edge: Cashing in on the Winning Strategies of Floor Traders, Commercial and Market Traders
Grant Noble
Manufacturer: McGraw-Hill
ProductGroup: Book
Binding: Hardcover

General | Popular Economics | Business & Investing | Subjects | Books

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Pit Bull: Lessons from Wall Street's Champion Day Trader
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Mastering the Trade (McGraw-Hill Trader's Edge)

ASIN: 1557385998

Book Description

A book for all traders. Although the vast majority of futures traders lose money, a few select groups consistently win: floor traders, commercial traders and insiders. In this fascinating and provocative book, veteran book, veteran futures trader Grant Noble takes the reader inside the futures market and explains the strategies used by each group of winners. He demonstrates why winners must have an ``edge'' if they are to outperform other traders consistently. Noble shows how an individual trader can adopt the same methods used by the winners to beat the market. In addition, Noble unveils a system to interpret and profit from news media coverage of the markets. A savvy and streetwise book on trading, The Trader's Edge will provide the ``inside edge'' needed to become a successful trader.

Customer Reviews:

Belongs on every trader's bookshelf.......1999-03-16

I normally do not like most books written on the subject of futures trading. All the way from their bombastic titles to the poorly thought out ideas which lose money consistently.This book is different. It contains a lot of new ideas and some pretty interesting information. The chapter on "split openings" is well worth the price of the book alone. It is a very good manual for short term traders, particularly day traders.

excellent book for stock and commodity traders or wannabes.......1998-11-26

I couldn't put this book down for the first 1/3rd...and liked the 2nd third...but the last 1/3rd dragged. Lots of good rules and explanations and ideas from a practical point of view. Well worth the price, and I learned a lot.

i made money the first day i read the book.grant is great.......1998-08-08

the ideas generated from this book, helped me make money right away.Grant drilled into me the importance of what the winners do and what they do is they concentrate most of their time and energy on the opening, which most of us amateurs, the majority, tend to ignore.If you want to succeed in the world of trading, Grant points out, you must start doing what the winners do.I strongly recommend this book for the day trader and position trader.Put away all your books on indicators and buy this book.

Investing Smart: How to Pick Winning Stocks with Investor's Business Daily

Average customer rating:

Bad presentation
This book sucks..
Its not completely worthless.....
Long Winded-But Necessary
Too Many Words, Too Little Information

Investing Smart: How to Pick Winning Stocks with Investor's Business Daily
Dhun H. Sethna
Manufacturer: McGraw-Hill
ProductGroup: Book
Binding: Paperback

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Investor's Business Daily Guide to the Markets
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How To Make Money In Stocks: A Winning System in Good Times or Bad, 3rd Edition
The Successful Investor: What 80 Million People Need to Know to Invest Profitably and Avoid Big Losses
Investor's Business Daily and the Making of Millionaires: How IBD Rewrote the Rules of Investing and Business News

ASIN: 0070578729

Book Description

Using Investor's Business Daily as his major source of investment information, Dhun Sethna tripled his portfolio in five years. In Investing Smart, Sethna shares what he's learned about picking stocks with the nation's fastest growing newspaper, unlocking the powerful money=making information in every edition.

You'll discover where to look for winning stocks every day. . .which indicators to watch to avoid losses. . .the psychology of market behavior. . .and much more. The book delivers straightforward explanations of the complex and powerful forces which drive stock prices. All in all, it gives you the tools you need to invest wisely.

Download Description

Written by a man who tripled his market holdings in five years through careful application of information in "Investor's Business Daily", this guide shows investors how to maximize the value of the paper's many features to reach their market objectives.

Customer Reviews:

Bad presentation.......2007-09-21

I was very excited to find a book that was going to give me more ideas on how to pick stocks using IBD. While this book did give information on IBD, it never got into anything I found helpful in really using to pick stocks. All the author did was present information I already knew by reading IBD myself. Also this was not a pure IBD product the author attempted to mix in several authors advice and techniques into this work by quoting them verbatim. The book was very dry and hard to read and I do not think beginners or veteran traders will find it helpful. It was written by a doctor, who may be a great trader, but I did not like his writing style. I would advise reading all of William O'Neal's book and stick with IBD alone to teach you. Find your stock picks in the IBD 100, you do not need this book.

This book sucks.........2004-03-07

I bought this book a year and a half or so ago and I think it was a bad investment. I figured this book would be a great addition to How to make money in stocks but I was wrong.

This book is basically scanned in pages of parts of the paper telling you about all the economic indicators and other items in Investor's Business Daily.

I feel this book could have been a lot better if Dhun Sethna hadn't spent most of his time talking about such a boring subject... I mean who really wants to interpret economics graphs... I know I don't. He could have discuss how to find the winners (like the title suggests) but from what I remember about this book it is just about what the paper is and all the economic indicators you can find in it. I can clearly see why William O'Neil doesn't recommend this book.

Reed Floren

Its not completely worthless............2001-12-30

I did not read the book but I did look it over carefully. I was hoping it would be a clear step by step guide to using IBD to apply the CANSLIM method. There is so much information in the paper that it is not easy to apply all the techniques in an efficient manner. There are almost too many choices and directions possible. This book is not a step by step guide nor is it all that clear. I did find it to be unnecessarily wordy and vague. It just seems to go over the whole paper in a long winded fashion but does not get down to the nuts and bolts of "Smart Investing" as I was hoping it would. Refer to William O'Neil's books for better guidance about how to invest. Also, if you are a subscriber, there is a large amount of useful information on the IBD website at Investors.com.

Long Winded-But Necessary.......2001-04-22

If you are totally new to investing then you should start with "24 Essential Lessons to Investment Success" & "How to make Money in stocks", both by William O'Neil. If after reading those books part of the Investment Business Daily newspaper makes no sense, I recommend this book. Once you feel successful and comfortable in the stocks you pick, you would want to understand the whole picture. Though this book will confuse you in the beginning and I agree with many of the reviews, remember it is a brake down of the newpaper and how you can use each part of it to understand everything of the market and how Investment Business Daily feeds you that information. I strongly recommend it. Puts together the Big Market picture from the pages of the Investors Business Daily paper. It should glue together some loose ends.

Miguel-Bronx New York

Too Many Words, Too Little Information.......2001-04-18

Being a student of William O'Neil's CANSLIM method of stock selection I found this book tiresome to read mainly because I know the subject matter so well. Dr. Sethna was certainly long winded and rambling in his writing style and could have said what he did in a third of the space he used. If you desire to learn about William O'Neil's methods purchase his book, "How to Make Money In Stocks." Lastly, Investor's Business Daily has added many new features since Dr. Sethna wrote this book so some of the information he shares about the paper is dated.

Gaming the Market: Applying Game Theory to Create Winning Trading Strategies (Wiley Finance)

Average customer rating:

Something different for the experienced trader
Don't waste time and money on this book!
An Honest Work
This book is complete garbage
Misleading, Wrong, Oversimplified...

Gaming the Market: Applying Game Theory to Create Winning Trading Strategies (Wiley Finance)
Ronald B. Shelton
Manufacturer: Wiley
ProductGroup: Book
Binding: Hardcover

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ASIN: 0471168130

Book Description

Gaming the Market: Applying Game Theory to Create Winning Trading Strategies is the first book to show investors how game theory is applicable to decisions about buying and selling stocks, bonds, mutual funds, futures, and options. As a practical trading guide, Gaming the Market will help investors master this revolutionary approach, and employ it to their advantage.

Although game theory has been studied since the 1940s, it has only recently been applied to the world of finance. Game theory champions garnered the 1994 Nobel Prize in Economics, and, today, this theory is used to analyze everything from the baseball strike to FCC auctions. Increasingly, game theory is making its mark as a potent tool for traders. In Gaming the Market, economist Ronald B. Shelton provides a model that enables traders to predict profitability and, as a result, make effective buy and sell decisions.

Stated simply, game theory is the study of conflict based on a formal approach to decision making that views decisions as choices made in a game. Whether playing individually or in a group, each player in a conflict has more than one course of action available to him, and the outcome of the "game" depends on the interaction of the strategies pursued by each. Shelton offers real-world examples that reveal how the principles of game theory drive financial markets âand how these same principles can be used to develop winning investment strategies. Through Shelton's organized and precise explanationsâhe uses familiar games such as chess and checkers to illustrate his points âreaders gain a solid understanding of the key principles of game theory before applying them to actual financial market situations.

Gaming the Market examines the interaction between price fluctuations and risk acceptance levels and gradually constructs a game theory model which proves that there are probability-based formulas for determining the profitability of any given trade.

With appendixes on T-Bond futures, mathematical representations of the model, and QuickBasic code for calculating relative frequencies, Gaming the Market provides a thorough overview of the rules and strategies of game theory. This indispensable reference will prove invaluable to novice and seasoned players alike.

Are the markets a game? What are the rules? Who are the players?

How can you, as a player, come up with a winning strategy?

Now, acclaimed economist Ronald B. Shelton shows you how to master the power of game theory in the first trader's guide to this revolutionary approach to investment decisions!

"It's not often that a refreshingly new idea appears in the field of trading strategies or risk management, but Ronald B. Shelton has taken pieces from game theory and betting strategies and transformed them into a new, visual way to make trading decisions. . . . He has been able to put a value on trading situations which can increase your ability to manage risk as well as clarify expectations âboth essential ingredients for success." âfrom the Foreword by Perry Kaufman author of The New Commodity Trading Systems and Methods.

"Gaming the Market is a very welcome and most useful new guide to playing profitably in the biggest and most complex game ever devised â speculating in the financial markets. Investors and traders who study this book will gain valuable insights into the real nature of the markets and will learn how to play the game to win." âThomas A. Bierovic, President, Synergy Futures.

"Ronald B. Shelton has extended the field of excursion analysis with an innovative and provocative book that is sure to be widely readâand controversial. By examining the actual distributions of price excursion, he shows a technique to estimate your odds going in on a new position, and within the context of game theory, how to evaluate those chances. All traders and analysts seeking objective bases for trading will want to read this book." âJohn Sweeney, Technical Editor, Technical Analysis of Stocks and Commodities magazine.

Customer Reviews:

Something different for the experienced trader.......2004-12-13

If you're an experienced trader with an aptitude for system development and computer modeling, this book will provide you with a unique perspective on the market.

For those who want cookie-cutter shortcuts to trading success, this book is not for you. This book does not contain "cut and paste" formulas for some whiz-bang indicator nor does it include code for TradeStation or MetaStock that you can just plug in and use. Instead, the author presents a different perspective on understanding and analyzing behavior, and although this approach may not represent orthodox game theory, it is a thought provoking approach, especially for someone (like me) who has probably read over a hundred books on trading and technical analysis.

You should note, however, that after reading and reviewing the concepts presented herein, applying them will take real effort - I'm not aware of any commercially available trading package that can generate and apply the data used in this approach. Also note that the examples presented in this book relate to day trading although I believe the principles are applicable on any type of market.

The major shortcoming of this book is the sparse real-life trading examples - more of those would have been very helpful. Nonetheless, as one veteran trader told me, "Whenever you read a book on trading, if it only gives you one new idea, then it's worth reading."

This book is definitely worth reading for the experienced trader.

Don't waste time and money on this book!.......2003-10-27

I waste my time to read this book which I borrowed from library. Anyone who trade more than six months will find nothing valuable in the book. I am surprised that John Wiley & Sons, which has a lot good books on trading and finace, would publish this book.

An Honest Work.......2002-03-09

This book contains a research work done by a practitioner. It maily used the theory of probability and the assumption of normal or lognormal distribution of the market prices, though with some game theory interpretations. I have to say that it is an honest and interesting work. Also it is inspiring for further study in that direction. There are also some disappointments: i) the mathematics and the overall material are presented poorly; ii) some of the results need more clarification and explanations, and are not complete at the level as published.
As ironic as it sounds, I was drawn into reading the book after I read the previous negative reviews on this board. I would say that those comments are either irrelevant, or ignorant. Any one interested in developping a feasible trading system could learn something from this book.

This book is complete garbage.......1999-10-10

The author is obviously in way over his head. This pathetic mockery of game theory is filled with errors. I'll only present the two most egregious ones:1.Incredibly, the author doesn't seem to realize that the probability of a major adversity (as defined in the book) is greater than or equal to the probabilty of a minor adversity. This restricts the applicable section of his model.2.The slope for determining profitable trades (according to the author's model) is given by (w+x)/(y-x). By choosing x arbitrarily close to y the slope can be infinite.Conditions 1 and 2 imply that a profitable trade on any and all stocks can be made under any market conditions with no risk whatsoever.This inept, incompetent book is so bad that it casts doubt upon the entire line of technical books from Wiley and Sons and their editorial process.

Misleading, Wrong, Oversimplified..........1998-12-27

The author confuses game theory with decision theory. The model has nothing related with game theory in it. The author defines the whole market as a game between the speculator and the remaining market, but does not take the remaining market's (the second player's) utility into consideration. Therefore the market's strategies are not utility-dependent but history-dependent which contradicts with the notion of game theory. This makes the model a simple choice selection of the speculator from just two alternatives faced with a market-move guess, not an equilibrium analysis as should be in a game-theoretic approach. Simply DO NOT WASTE YOUR MONEY by buying this book, and if you don't know much about game theory, don't read this book even if it was for free as you will misunderstand what game theory is.

Winning Market Systems: 83 Ways to Beat the Market

Average customer rating:

Appel is real deal
Too old!
A Must Read
Excellent book on systems design

Winning Market Systems: 83 Ways to Beat the Market
Gerald Appel
Manufacturer: Traders Press
ProductGroup: Book
Binding: Paperback

Stocks | Investing | Business & Investing | Subjects | Books

General | Reference | Subjects | Books

General | Foreign Languages | Reference | Subjects | Books

All Titles | Qualifying Textbooks - Fall 2007 | Stores | Books
Similar Items:

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High Probability trading

ASIN: 0934380120

Customer Reviews:

Appel is real deal.......2005-08-09

Good book, worth owning and reading. I've seen Gerry speak, and he's a "valid" voice in Technical Analysis and the markets, where there aren't all that many. No holy grail here, but there isn't one anywhere. There is good technical information in the book, despite it's "hokey" looking title. I was skeptical when I bought the book (I've read over 120 on markets so far, have 60 more on the floor, and another 200 on the AMZN wish list), but was PLEASANTLY surprised during the read.

Too old!.......2004-09-23

Appel discusses a number of disjointed trading methods in this book, finally progressing to an exposition of the first version of his Time-Trend (T-T) trading method. This T-T method is momentum-based and has some useful filters incorporated in its methodology. However, it must be emphasized that this is an "expert" system which requires subjective interpretation on the part of its operator. If one is capable of making such trading decisions, then he or she does not need this book.

If you are not a collector of 15 year-old trading books or outdated systems, look elsewhere!

A Must Read.......2004-01-15

This book is as relevant today as it was when published in 1973 and should be in the library of every trader.

Excellent book on systems design.......1999-09-29

Gerald Appel, veteran trader, and the man responsible for making the MACD indicator popular, shares his systems knowledge in this text. It begins with a critique of various moving average systems (good for trending markets) with a constant attention to actual trading results in the real world. He goes on to discuss "swing" based systems that are better suited for a choppy, trading market (non-trending) concentrating on an overbought/oversold oscillator. Some other systems are also examined including channel breakouts. The final chapters deal with Appel's own system which combines rules for using moving averages during trending markets, switching to oscillators for trading markets. The rules are clearly spelled out and can be applied as a purely mechanical system if desired. I haven't backtested the system myself, but Appel provides theoretical results for a time period in the 1970s when the NYSE managed little gain on buy and hold over a multiyear period. The system yielded spectacular results in the same time period excluding dividends (and commission costs, but the # of trades is not excessive and online brokers have lessened this concern). The only downside to the book is that it was written in 1980, and I haven't backtested results for the 1980s and 90s. He does however provide an excellent detailed explanation of the reasoning behind the system. I would recommend this book to both novice and intermediate systems developers. I am interested in trying the system itself, but the book goes along way in providing a background on how to approach systems development and the types of questions to think about. I found it much more practical (although nowhere near as comprehensive) than Kaufman's famous bible on trading systems.

West of Wall Street: Understanding the Futures Market, Trading Strategies, Winning the Game

Average customer rating:

West of Wall Street: Understanding the Futures Market, Trading Strategies, Winning the Game
George Angell , and Barry Haigh
Manufacturer: Longman Financial Services Publishing
ProductGroup: Book
Binding: Hardcover

General | Popular Economics | Business & Investing | Subjects | Books

Public Finance | Economics | Business & Investing | Subjects | Books

General | Business & Investing | Subjects | Books

Futures | Investing | Business & Investing | Subjects | Books

Stocks | Investing | Business & Investing | Subjects | Books
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ASIN: 0884626237

The winning habit;: How your personality makes you a winner or a loser in the stock market,

Average customer rating:

The winning habit;: How your personality makes you a winner or a loser in the stock market,
Mark J Appleman
Manufacturer: McCall Pub. Co
ProductGroup: Book
Binding: Hardcover

Public Finance | Economics | Business & Investing | Subjects | Books
ASIN: 0841500312

Winning Market Strategies; Winning Investor Guide (Teach Me To Trade)

Average customer rating:

Winning Market Strategies; Winning Investor Guide (Teach Me To Trade)

Manufacturer: Teach Me To Trade
ProductGroup: Book
Binding: Paperback

Stocks | Investing | Business & Investing | Subjects | Books
ASIN: B000EVS3HM

Product Description

2 Book Set: Winning Investor Guide: How the financial markets can help you become financially independent; Winning Market Strategies: How our investing methodlolgy can help you become financially independent.

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