Table of Contents

Introduction 1


Part I: Defining Technical Analysis 5


Chapter 1: Opening the Technical Analysis Toolbox 7


Chapter 2: Uncovering the Essence of Market Movement 23


Chapter 3: Going with the Flow: Market Sentiment 35


Part II: Preparing Your Mind for Technical Analysis 51


Chapter 4: The Ar t of Trading 53


Chapter 5: Managing the Trade 71


Chapter 6: Reading Basic Bars: How to Pounce on Opportunities 89


Part III: Observing Market Behavior 109


Chapter 7: Reading Special Bar Combinations: Small Patterns 111


Chapter 8: Redrawing the Price Bar: Japanese Candlesticks 133


Part IV: Finding Patterns 149


Chapter 9: Seeing Patterns 151


Chapter 10: Drawing Trendlines 165


Chapter 11: Transforming Channels into Forecasts 179


Part V: Dynamic Analysis 199


Chapter 12: Using Dynamic Lines 201


Chapter 13: Measuring Momentum 223


Chapter 14: Estimating Volatility 241


Chapter 15: Ignoring Time: Point-and-Figure Charting 253


Chapter 16: Combining Techniques 267


Chapter 17: Cycles and Waves 285


Part VI: Part of Tens 297


Chapter 18: Ten Secrets of the Top Technical Traders 299


Chapter 19: Ten Rules for Working with Indicators 305


Appendix: Additional Resources 309


Index 313

About the Author

Barbara Rockefeller is an expert on technical analysisand the author of the previous Technical Analysis For Dummieseditions. She writes daily newsletters on foreign exchange usingboth fundamental and technical analysis, as well as otherinvestment books published by Wiley.