Price Action Trading

Price Action Trading

ByBill Eykyn
Publisher: Harriman House
Pages: 164
Publication Date: 2003-09-01
ISBN-10: 1897597347
ISBN-13: 9781897597347

Product
Description:

Extract from the Preface:

1. What the book covers

This book is about day trading. Using the price action itself, rather than any of the usual array of indicators based on it. The US 30-year Treasury Bond Futures is the favoured instrument – the T-Bonds, as they are commonly called. There are good reasons for choosing this instrument to learn to trade – one being that they do not require a detailed knowledge of bonds themselves. The other attractions, whether you are a beginner or a seasoned veteran, are to do with liquidity, range, behaviour, patterns and the price action displayed at the key support and resistance points it encounters.

Most days the T-bonds offer trading opportunities which can be taken within a money management environment that can give you an edge for profit – and this book has been designed to show you how to do just that. Fully illustrated with charts taken from a live trading screen and displayed in exactly the way you would have seen them for yourself, on your computer monitor. What you see is not just what happened, in detail, but also clear evidence of just how you could have profited yourself from each trading situation.

2. Who the book is for

This book has been written for anyone wishing to day trade, using a discretionary method, rather than a mechanical system. It is a learning tool which should commend itself to the experienced trader, as much as to someone new to this business. Certainly I hope that any raw recruit would find it an easy read, even if it took a while longer to digest the subject matter as a whole.

3. How the book is structured

The seasoned trader will probably start by skip reading, to see if he can cut to the chase quickly. The less experienced will immediately see – from the detail of the charts alone – that there is a great deal of information to absorb, and will have to start at the beginning! After that, wherever you place yourself as a trader, I hope you will find that the methodology is pretty straightforward, the approach you need to adopt clear-cut, and the various steps involved in the process uncomplicated.

It has to be said that there is nothing amazing or wonderful in learning to read the tape – for that, albeit in a computer environment, is what this methodology is all about – and the key to success in so doing, is in the application of a robust risk/reward/ratio. This means that the successful exponent of the art-cum-science of discretionary trading, in this particular way, has to have a mindset that can take the winning and the losing with complete equanimity. It is not easy. It is not for everyone. But . . . those who can learn how the market works and learn to go with the flow, putting the odds on their side, stand a good chance of creating the essential edge to win.

Those who already day trade in discretionary fashion will hopefully gain pointers here and there and find, as we all know, that it often takes just one pearl gained to make the trawl an eminently worthwhile exercise. Those who come to this book with little or no experience will gain from their lack of preconception, even if it takes a lot of reading and re-reading to get up to speed on the computer, with live charts.

Best of luck

Bill Eykyn

Summary: Expensive Book, Little New Under the Sun

Rating: 2

I should have listen to the one other person wrote who reviewed this book, but the 4 star rating hooked me in. I find nothing within the covers of this book to justify 4 stars or the price.
I agree with the other review that the book is not price trading but simple pivot point trading. I am not stating that pivots are not a key component of trading. I use them across all spectrum's. What I am saying is there is nothing new here.
I have been trading for 12 years and in all that time I have come across only one comprehensive book on actual price trading, Al Brooks Reading Price Charts Bar by Bar. If anyone knows of others, please forward them to me.
Price trading in the fashion of the greats like Jesse Livermore is not popular among the trading masses, or even among some on Wall Street, because it is not simple and it is not the golden cash cow indicator.
Perhaps some of the applications to bonds are a little different, but at $100 plus for the book, I simply cannot justify the purchase.
Unless your starving to part with the dollars pass this pivot book up for some less expensive treatise on pivots.

Summary: Price Action or Pivot Action?

Rating: 4

Greetings, I had an opportunity to scan through this book, and I thought I was in for a real treat. There are so very few good books on pure price action, and Mr Eykyn has reportedly got such a big name in trading that I was convinced he had something of value. However, after my review, I feel that the book would have been more appropriately named Pivot Action rather than Price Action. The manual is about using the well known pivot calculations, and trading off of those price lines at the various levels on the charts. Nothing new here. But I must admit, this is a more detailed treatment of Pivot Action then I have seen in recent years. Be advised, this book is not for the trading neophyte. The terminology and level of trading sophistication is well beyond the grasp of most newbies. Mr Eykyn does well in describing how he executes his analysis in trading the Bonds, and the book is nicely written. But in my mind, the content of this manuscript does not justify the relatively high price. But if you're a current user of the pivots, there are more than a few good tidbits of wisdom. If my memory serves me, some time ago Neil Weintraub did just as credible a job on using the pivots, only at half the cost. In any case, I'm still waiting to see another real book on Price Action to add to my 20 year collection. Enjoy!