Trading By Tiie Boole - Part II

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Traciing By The Book - Part II

The small section on the Ross hook serves only as an introduction to the concept of trading these hooks. Trading the Ross Hook is an entire book explaining in depth how to trade them. If you are interested in trading this very profitable situation, I suggest acquisition of my book on this subject.

In Parts i and , Ive laid down the building blocks of market anatomy. If youve gotten this far, then you can expect that things will get easier from now on. In fact, by the time you get to Part VI, you will see that its only necessary to spend 1/2 hour a day with a computer to follow 20+ markets. Without a computer it will take a bit longer, depending on how many markets are followed.

In Parts III and IV, Ill finish the remaining aspects of market anatomy that need to be covered.

In Part III, I show how to enter an established trend. Theres not much to it, so in order to fill that section of the manual with more pages, I have included everything that I care to know about Fibonacci theory. I use it, but mostly to see what others are doing. It helps to optimize my trades, and to give me some sort of idea about the markets. Ive already shown a good bit of it in these two sections, but 1 havent yet shown the flaws and pitfalls of using Fibonacci theory - there are many and they can wipe you out. In Par III, I will reveal them. I also give Elliot waves a good raking over. In addition, I show hov an oscillator can be used to trade one-two-three tops and bottoms. You can use virtually any overbought/oversold oscillator to do it, not just the one I show. Better yet is for you to learn to do it without an oscillator.

Now, wouldnt it be wonderful if there were a way to catch 1-2-3 breakouts before they actually break out? There is, and I reveal one way to do it in Part IV. I show how tc trade from a combination of a weekly and a daily oscillator. Then 1 show a full year of how I actually traded that way, blow by blow and day by day. Trading with oscillators is not my favorite way to trade, but I did it just to prove it could be done. The concept behind what I show you there, coupled with good management is what actually made it work.

In Part V of the manual I show how to trade within a range. Ive never seen anyone who could, or would, give a definitive method for doing that. The work I have done on that is quite original as far as I know. It also works very well and gives me something to do when I want some fast action. The first two sections of Part V are dynamite and will substantially increase the profits you can make from Parts I and II.

In Part VI of the manual I reveal wisdom, tactics and strategies that sort of pull everything else together. It is a collection of the best things that I know to do about trading to improve and optimize it. I then trade an entire year for you, showing how I pul together all of the concepts shown in the manual. You will be looking right over my shoulder as I trade.

When I showed the concepts to a friend of mine who has been trading for 30 year? without great success, he wondered "Where has this been all my life?"

CHAPTER 1

"Why Kick a Thorn Bush?"

I want to ennphasize that my own trading is simple. As I have shown in Parts 1 & 11 of the Manual, there really is nothing very complicated about the way I trade. Im not the only one to have come to the conclusion that simplicity is the key to the markets.

My great uncles were that way. They started trading futures in the late eighteen-hundreds. They made vast fortunes in the markets, yet their trading was direct and simple. They passed on their knowledge and techniques of trading to their heirs. One thing they did most effectively - they diversified the fortune they made in futures by placing the money into a variety of investments.

tf you pick out one method, even one simple method, and master it, and learn to trade successfully with it, you will come out way ahead of the majority of people who try their hands at futures.

Dont be overly concerned with win versus loss percentages. It is dollars won versus dollars tost that are crucial, tf you trade a system or method that yields only 30% winners, but wins more dollars than it loses, then you will have a profitable business.

Dont struggle against the markets. Step back often and take a good hard took at the total picture. Alt too often you will get buried in a myriad of short term detail. Be eclectic. If everything tells you that a market has a high probability of going a certain way, then go with it.

Dont be afraid to trust your feelings. Yours are as accurate as anyones.