Point and Figure Charting: The Essential Application for Forecasting and Tracking Market Prices A Marketplace Book: Amazon.co.uk: Thomas J. Dorsey: Books

Product Description

The classic source for the technical analysis discipline now brings readers up to date in techniques and technology
Now, in this second edition of the classic text, expert Thomas Dorsey shows, step–by–step, how to create, maintain, and interpret your own point and figure charts. He explains how you can use your findings to track and forecast market prices and develop an overall investment strategy. Perhaps most importantly, he helps you develop confidence in the market and take decisive action at the appropriate time, rather than reacting after the fact. Dorsey also highlights new developments in the field and incorporates the use of recently developed software to track any market using point and figure methods. Written for both new and experienced P & F chartists, this updated edition of a technical analysis classic brings point and figure charting into the Internet age.
Thomas J. Dorsey (Richmond, VA) is President of Dorsey, Wright & Associates, a registered investment advisory firm that uses point and figure charting as its main source of technical analysis.

From the Back Cover

Many investors tend to forget that the most basic force affecting securities prices is the law of supply and demand. Point and figure charting is a time–honored, proven method of tracking fluctuations in supply and demand and recognizing promising trends early enough to take advantage of them.

In this book, Thomas J. Dorsey shows you, step–by–step, how to create, maintain, and interpret your own point and figure charts. He explains how you can use your findings to track and forecast market prices and develop an overall investment strategy. Perhaps most importantly, he helps you develop confidence in the market and in your own ability to take decisive action at the appropriate time, rather than reacting belatedly to rapidly changing market conditions.

Point and Figure Charting isn′t just for brokers. It′s a simple, clear, straightforward presentation of the oldest and most completely tested method for technical analysis of stock prices. This classic method is both simple and accurate enough to enable every investor to become a technical analyst. With the help of this book, you will find yourself tracking not only individual stocks, but also market segments, commodities, mutual funds, and more. You will learn to use important market indicators, such as the NYSE Bullish Percent; make and use relative strength calculations; apply sector rotation; and trade options, commodities, and other financial instruments using point and figure charting.

No other book on technical analysis takes you so far, so fast. You will move beyond theory into actual trading techniques you can apply in specific markets to become a self–reliant investor. You will learn to plan your own investment strategies designed to outperform the market and produce returns on your investments that, up to now, you′ve only dreamed of.

If you′re tired of leaving your financial future in the hands of money managers who don′t seem to do much more than follow the herd from one fad investment to the next, here is your chance to take control of your investments with a logical, sensible approach built around the way the market actually functions.

Finally . . . a clear approach for managing your investments and understanding the markets

It′s not too late to take control of your own investments, to stop treating the market as an enigma, and to make technical analysis a practical reality in your investment program. With the methods in this book, you will find yourself investing with a new confidence and self–reliance that will be the envy of your fellow investors. And don′t be surprised if your broker offers you a job.

"Everyone who′s involved in financial markets must understand point and figure charting in order to get the full picture, whatever your view of technical analysis."—Jim Rogers Author of Investment Biker

"Being in the right stock market sector at the right time and getting out at the right time is only one of many things you′ll learn from Tom Dorsey′s great book. Should be on the desk of everyone interested in the stock market, especially professionals."—Michael Burke Editor, Investors Intelligence

"Tom Dorsey has once again demonstrated that technical analysis can co–exist with fundamental analysis. All too often Wall Street has overemphasized ′What to Buy.′ Now, using Tom′s charting techniques, the investor will have confidence in knowing ′When to Buy and Sell.′"—Stephen T. Mitchell Managing Director, Alex Brown & Sons, Inc. --This text refers to an out of print or unavailable edition of this title.

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5 of 5 people found the following review helpful

The section on chart patterns is excellent. 11 Oct 2000

By A Customer

Format:Hardcover

I have never reviewed a book before because I found the comments of others usually sufficed. However, this book goes the extra mile. There are many useful and accurate observations made throughout the book which with understanding will make you a successful trader.

The discussion on Price Objectives and the horizontal and vertical count are clear, accurate and easy to test in real trade situations. I have been amazed by the uncanny way you can predict the top or bottom of the current price move.

The section on chart patterns is excellent. Once you realise that a "shakeout formation" is another term for retracement then any other terminology used is easy to relate to.

The book focuses on stocks which is a shame. There is a small treatise on Commodities for those who trade futures like myself. However, you will need to increase the box value in faster markets, but the reversal value quoted works well.

If after reading this book you did not get anything out of it, then you should read it again. It is not the only book you should have on your bookshelf but it is worthy of a place next to Steve Nisson's "Japanese Candlestick Charting Techniques", John Piper's "The Way to Trade" and John Murphy's book "Technical Analysis of the Financial Markets".

If you trade for profit then invest in knowledge.

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2 of 2 people found the following review helpful

Horribly written 22 Jun 1999

One has to wonder if the glowing reviews for this book are the compositions of Mr. Dorsey's friends and employees. Whatever the merits of the content of this book - and there are, I believe, real merits to point and figure charting and analysis - Mr. Dorsey's profoundly muddled and unorganized presentation of that content leaves the reader irritated and confused. Mr. Dorsey, frankly, is an embarassment as an author. That said, for the patient reader capable of plugging the many gaps in Mr. Dorsey's thinking there is a fair amount of good information here. Unsuprisingly, virtually all of it is borrowed form other sources, which is fine enough, but raises the question of why Mr. Dorsey was chosen to write this book. Whatever the answer, it clearly had nothing to do with his communication skills.

1 of 1 people found the following review helpful

A vital addition to your library. 11 April 1999

Some people find a good thing early on and are smart enough to stick with it. I am not one of those people, but Tom Dorsey is. I've read about every TA book ever written, I've studied everything from stochastic to voodoo and back, and if someone asked me to recommend one single book for learning and successfully applying Technical Analysis in order to make money, it would be this book. The methods described are powerful yet simple, (which usually is the best), concise, (no filler), and include a strategy for any plan to make money in the market and avoid giving it all back.

From the overall concepts of Point and Figure Charting to the specific rules for managing your trades, your portfolio, and your money, you'll be happy you took the time learn what Tom Dorsey has shared about those little Xs and Os.