Trading Basics: Evolution of a Trader

Bulkowski’s Trading Basics reviewBulkowski’s Trading Basics is the FIRST investing book I have read that cleanly backs its statements with FACTS from the author’s ORIGINAL RESEARCH. I was excited to discover many ideas I have not found elsewhere. If you are a serious trader, you will be pleased to get your hands on the tables and charts in this book.Do not let the title, Trading Basics, fool you. If you have never researched a stock, read a chart or placed a trade, there are plenty of good beginners’ books but this book is so much more. If a beginner asks how to make money in stocks, let them read the short chapter 1: Bulkowski’s personal story of “How to Retire at 36.” It will inspire and challenge them.If you are serious investor, intent on always improving your stock investing with information that is research-based (and not a blind repeat of common “truths’”), then you will be surprised, delighted and probably shocked by some of the findings in this book.After 13 years of trading, I am now in the process of incorporating a new layer of investing fact-based rules from this book into my investing plan.A FEW OF THE MANY TOPICS BULKOWSKI COVERS I HAVE NOT FOUND ELSEWHERE:• How much money does it take to get started investing – guidelines and justifications for a safe starting investment for each type of investor (position, swing, trend or day traders)?• A unique position-sizing algorithm that takes into account volatility of both the stock and the market.• Managing a position based on both stock performance and market rend• What is the optimal period to hold a stock?• How many stocks should be held adjusted for trading style?• Analysis of how nine variations of stops (such as fixed percentage, volatility, chandelier, average true range, and top stop exit) perform including average loss, hold time, percent stopped out, win/loss percent and profit/risk change.• AND MY FAVORITE: a whole myth-busting chapter on the effectiveness (and ineffectiveness) of twelve types of support and resistance.• Each chapter ends with a CHAPTER CHECKLIST of key points and lessons to emphasize the most valuable information.The book has many tables with the results of Bulkowski’s statistical research, extensively annotated charts of actual stocks showing the concepts in practice, and critical formulas every trader should know. If you are serious about making money in the stock market, buy this book.

Interesting book, which has a few helpful insights, but definetely not essential for successful trading.This book is a walkthrough of various trade ideas most of which you can find in some other sources. Nevertheless, it is helpful to have them condensed in one book and reviewed by a weathered stock trader.The author very often backtests the presented ideas and backs his opinions with the gathered statistical data. The best thing about these tests (and I would say my biggest profit in reading this book) is that they inspired me to backtest the presented ideas after incorporating them in my trading system, which helped me earn a few bucks more per annum.

I was convinced by Tom's writing posted in his own website ( thepatternsite.com) and then I bought his books and read them (twice in a row) because I have a bunch of questions brought back from the market. Interestingly I read his Swing and Day Trading first. Then Fundamental Analysis and Position Trading. I am so happy to see a lot of my questions got answered (or understand that some of them are not questions that have definite answers), I know I must buy Trading Basics and read it, though I already have some basic knowledge about trading. I am not disappointed.A smart novice who starts trading now may hesitate because the news already screaming the bear market is coming. He will find out more if he also read the stage analysis in Fundamental Analysis and Position Trading. Tom covers them quite comprehensively.The more you trade, the more you will appreciate the statistics in the books. Tom doesn't guarantee a pattern works, as a reviewer implies. Tom provides statistics, which by definition deals with probability. A trader doesn't ask for guarantee; he only looks for probability on his side. Tom's books help.

This book introduces you to the paradigms of intelligent trading, to name a few:* money management* stop placement* support & resistance levels* recurring patterns of the market backed by statistical research* entry & exit timing* market trend & stock trend relationshipHaving read a few books by this market veteran author, I find his books distinguished from the rest by a single, crucial aspect:Thomas conducts and discusses his own research, methods and tools of many years, which he courteously shares with the reader both in his books and at his website (just google his name!)

I really like Bulkowski. This book was pretty tiny compared to his others. It didn’t tell me anything I didn’t already know. Not bad for a beginner. Doesn’t provide the value of his other works.

Bulkowski's books are the best and you cant go wrong with any of them.Thomas is a genious and puts his knowledge in your hands with his books.You will learn how to do the stuff the trading pros do if you read his books.I have all 9 of his books

Excellent book that busts certain trading myths and presents results of back-tested hypotheses. highly recommend it to investors and swing traders.