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Technical Analysis of Stock Trends, Tenth Edition

By Robert D. Edwards, John Magee, W.H.C. Bassetti

CRC Press – 2013 – 624 pages

Purchasing Options:

  • Add to CartHardback: $104.95
    978-1-43-989818-5
    November 28th 2012

Description

Sixty-three years. Sixty-three years and Technical Analysis of Stock Trendsstill towers over the discipline of technical analysis like a mighty redwood. Originally published in 1948 and now in its Tenth Edition, this book remains the original and most important work on this topic. The book contains more than dry chart patterns, it passes down accumulated experience and wisdom from Dow to Schabacker, to Edwards, and to Magee, and has been modernized by W.H.C. Bassetti.

Bassetti, a client, friend, and student of John Magee, one of the original authors, has converted the material on the craft of manual charting with TEKNIPLAT chart paper to modern computer software methods. In actuality, none of Magee’s concepts have proven invalid and some of his work predated modern concepts such as beta and volatility. In addition, Magee described a trend-following procedure that is so simple and so elegant that Bassetti has adapted it to enable the general investor to use it to replace the cranky Dow Theory. This procedure, called the Basing Points procedure, is extensively described in the new Tenth Edition along with new material on powerful moving average systems and Leverage Space Portfolio Model generously contributed by the formidable analyst, Ralph Vince., author of Handbook of Portfolio Mathematics.

See what’s new in the Tenth Edition:

  • Chapters on replacing Dow Theory
  • Update of Dow Theory Record
  • Deletion of extraneous material on manual charting
  • New chapters on Stops and Basing Points
  • New material on moving average systems
  • New material on Ralph Vince’s Leverage Space Portfolio Model

So much has changed since the first edition, yet so much has remained the same. Everyone wants to know how to play the game. The foundational work of the discipline of technical analysis, this book gives you more than a technical formula for trading and investing, it gives you the knowledge and wisdom to craft long-term success.

Reviews

"The 9th edition also contains some ‘jewels’ developed from Magee’s work, Basing Point analysis and risk management, as well as additional material demonstrating the power of chart analysis in commodity trading. … I am pleased to recommend this edition to new readers and old readers alike."

—John Murphy, author of Technical Analysis of the Financial Markets and Intermarket Analysis

"With a focus on pragmatic portfolio theory, editor Charles Bassetti significantly contributes to the technical analysis body of knowledge especially related to tactics, and has created a book worth a space on every technician’s bookshelf."

—Mike Carr, CMT in Technically Speaking, Market Technician’s Association

"… teaches us how to profit from chart patterns regardless of what the market is doing. This classic book on chart patterns is a must for the savvy trader."—David Robinson, The Bull and Bear Financial Report

"Whatever you might think of technical analysis in general, and charting in particular, this book is the classic work on the subject."

—Mark Hulbert, The Hulbert Financial Digest

"Completely updated with the latest information, this universally acclaimed investors' classic is the definitive reference on analyzing trends in stock performance through technical analysis."

—Yale Hirsch, Stock Traders Almanac, The Hirsch Organization, Inc.

"This book is a classic--the standard of excellence against which everything in technical analysis is measured. I am delighted to know that another generation of investors will be able to learn from this wonderful book."

—Ralph Acampora, Prudential Securities

"The #1 all-time classic on analysis of bar charts. Many knowledgeable technicians consider this to be the best book on chart patterns ever written!"

—Edward Dobson, Traders Press, Inc.

Contents

TECHNICAL THEORY

The Technical Approach to Trading and Investing Charts

The Dow Theory

The Dow Theory in Practice

The Dow Theory’s Defects

The Dow Theory in the 20th and 21st Centuries

Important Reversal Patterns

Important Reversal Patterns–Continued

Important Reversal Patterns–The Triangles

Important Reversal Patterns–Continued

Other Reversal Phenomena

Short-Term Phenomena of Potential Importance

Consolidation Formations

Gaps

Support and Resistance

Trendlines and Channels

Major Trendlines

Trading the Averages in the 21st Century

Technical Analysis of Commodity Charts

Technical Analysis of Commodity Charts, Part 2

A Summary and Some Concluding Comments

Technical Analysis and Technology in the 21st Century: The Computer

and the Internet, Tools of the Investment/ Information Revolution

Advancements in Investment Technology

TRADING TACTICS MIDWORD

The Tactical Problem

Strategy and Tactics for the Long-Term Investor

The All-Important Details

The Kind of Stocks We Want–The Speculator’s Viewpoint

The Kind of Stocks We Want–The Long-Term Investor’s Viewpoint

Selection of Stocks to Chart

Selection of Stocks to Chart–Continued

Choosing and Managing High-Risk Stocks: Tulip Stocks, Internet

Sector, and Speculative Frenzies

The Probable Moves of Your Stocks

Two Touchy Questions

Round Lots or Odd Lots?

Stop Orders

What Is a Bottom–What’s Is a Top?

Trendlines in Action

Use of Support and Resistance

Not All in One Basket

Measuring Implications in Technical Chart Patterns

Tactical Review of Chart Action

A Quick Summation of Tactical Methods

Effect of Technical Trading on Market Action

Automated Trendline: The Moving Average

“The Same Old Patterns”

Balanced and Diversified

Trial and Error

How Much Capital to Use in Trading

Application of Capital in Practice

Portfolio Risk Management

Stick to Your Guns

APPENDICES

GLOSSARY

BIBLIOGRAPHY

INDEX

Author Bio

W.H.C. Bassetti is an Adjunct Professor of Finance and Economics at Golden Gate University in San Francisco, California.

Robert D. Edwards is a consultant in San Rafael, California.

John Magee is a Consultant in Chicago, Illinois.

Name: Technical Analysis of Stock Trends, Tenth Edition (Hardback)CRC Press 
Description: By Robert D. Edwards, John Magee, W.H.C. Bassetti. Sixty-three years. Sixty-three years and Technical Analysis of Stock Trendsstill towers over the discipline of technical analysis like a mighty redwood. Originally published in 1948 and now in its Tenth Edition, this book remains the original and most...
Categories: Financial Mathematics, Statistics