Trading Price Action Trading Ranges

Praise for Trading Price Action Trading Ranges

"Al Brooks has written a book every day trader should read. On
all levels, he has kept trading simple, straightforward, and
approachable. By teaching traders that there are no rules, just
guidelines, he has allowed basic common sense to once again rule
how real traders should approach the market. This is a must-read
for any trader that wants to learn his own path to success."

--Noble DraKoln, founder, SpeculatorAcademy.com, and author of
Trade Like a Pro and Winning the Trading Game

"A great trader once told me that success was a function of
focused energy. This mantra is proven by Al Brooks, who left a
thriving ophthalmology practice to become a day trader. Al's
intense focus on daily price action has made him a successful
trader. A born educator, Al also is generous with his time,
providing detailed explanations on how he views daily price action
and how other traders can implement his ideas with similar focus
and dedication. Al's book is no quick read, but an in-depth road
map on how he trades today's volatile markets, complete with
detailed strategies, real-life examples, and hard-knocks
advice."

--Ginger Szala, Publisher and Editorial Director, Futures
magazine

Over the course of his career, author Al Brooks, a technical
analysis contributor to Futures magazine and an independent
trader for twenty-five years, has found a way to capture consistent
profits regardless of market direction or economic climate. And
now, with his new three-book series--which focuses on how to
use price action to trade the markets--Brooks takes you step
by step through the entire process.

In order to put his methodology in perspective, Brooks examined
an essential array of price action basics and trends in the first
book of this series, Trading Price Action TRENDS. Now, in
this second book, Trading Price Action TRADING RANGES, he
provides important insights on trading ranges, breakouts, order
management, and the mathematics of trading.

Page by page, Brooks skillfully addresses how to spot and profit
from trading ranges--which most markets are in, most of the
time--using the technical analysis of price action. Along the
way, he touches on some of the most important aspects of this
approach, including trading breakouts, understanding support and
resistance, and making the most informed entry and exit decisions
possible. Throughout the book, Brooks focuses primarily on 5 minute
candle charts--all of which are created with
TradeStation--to illustrate basic principles, but also
discusses daily and weekly charts. And since he trades more than
just E-mini S&P 500 futures, Brooks also details how price
action can be used as the basis for trading stocks, forex, Treasury
Note futures, and options.

Auteur
Al Brooks is a technical analysis contributor for Futures magazine and an independent day trader. His approach to reading price charts was developed over two decades in which he changed careers from ophthalmology to trading. Brooks graduated from The University of Chicago Pritzker School of Medicine in 1978 and received a BS in mathematics with honors from Trinity College in 1974. His website, brookspriceaction.com, outlines his trading approach and views as well as hosts a subscription-based daily trading chat room in which Brooks talks with other traders about the market.

Résumé
Praise for Trading Price Action Trading Ranges "Al Brooks has written a book every day trader should read. On all levels, he has kept trading simple, straightforward, and approachable. By teaching traders that there are no rules, just guidelines, he has allowed basic common sense to once again rule how real traders should approach the market. This is a must-read for any trader that wants to learn his own path to success."
Noble DraKoln, founder, SpeculatorAcademy.com, and author of Trade Like a Pro and Winning the Trading Game

"A great trader once told me that success was a function of focused energy. This mantra is proven by Al Brooks, who left a thriving ophthalmology practice to become a day trader. Al's intense focus on daily price action has made him a successful trader. A born educator, Al also is generous with his time, providing detailed explanations on how he views daily price action and how other traders can implement his ideas with similar focus and dedication. Al's book is no quick read, but an in-depth road map on how he trades today's volatile markets, complete with detailed strategies, real-life examples, and hard-knocks advice."
Ginger Szala, Publisher and Editorial Director, Futures magazine

Over the course of his career, author Al Brooks, a technical analysis contributor to Futures magazine and an independent trader for twenty-five years, has found a way to capture consistent profits regardless of market direction or economic climate. And now, with his new three-book serieswhich focuses on how to use price action to trade the marketsBrooks takes you step by step through the entire process.

In order to put his methodology in perspective, Brooks examined an essential array of price action basics and trends in the first book of this series, Trading Price Action TRENDS. Now, in this second book, Trading Price Action TRADING RANGES, he provides important insights on trading ranges, breakouts, order management, and the mathematics of trading.

Page by page, Brooks skillfully addresses how to spot and profit from trading rangeswhich most markets are in, most of the timeusing the technical analysis of price action. Along the way, he touches on some of the most important aspects of this approach, including trading breakouts, understanding support and resistance, and making the most informed entry and exit decisions possible. Throughout the book, Brooks focuses primarily on 5 minute candle chartsall of which are created with TradeStationto illustrate basic principles, but also discusses daily and weekly charts. And since he trades more than just E-mini S&P 500 futures, Brooks also details how price action can be used as the basis for trading stocks, forex, Treasury Note futures, and options.

Contenu

Acknowledgments xi

List of Terms Used in This Book xiii

Introduction 1

PART I Breakouts: Transitioning into a New Trend 35

CHAPTER 1 Example of How to Trade a Breakout 53

CHAPTER 2 Signs of Strength in a Breakout 61

CHAPTER 3 Initial Breakout 81

CHAPTER 4 Breakout Entries in Existing Strong Trends 91

CHAPTER 5 Failed Breakouts, Breakout Pullbacks, and Breakout
Tests 99

CHAPTER 6 Gaps 119

PART II Magnets: Support and Resistance 139

CHAPTER 7 Measured Moves Based on the Size of the First Leg (the
Spike) 153

CHAPTER 8 Measured Moves Based on Gaps and Trading Ranges
165

CHAPTER 9 Reversals Often End at Signal Bars from Prior Failed
Reversals 175

CHAPTER 10 Other Magnets 179

PART III Pullbacks: Trends Converting to Trading Ranges
183

CHAPTER 11 First Pullback Sequence: Bar, Minor Trend Line,
Moving Average, Moving Average Gap, Major Trend Line 205

CHAPTER 12 Double Top Bear Flags and Double Bottom Bull Flags
213

CHAPTER 13 Twenty Gap Bars 233

CHAPTER 14 First Moving Average Gap Bars 239

CHAPTER 15 Key Inflection Times of the Day That Set Up Breakouts
and Reversals 245

CHAPTER 16 Counting the Legs of Trends and Trading Ranges
253

CHAPTER 17 Bar Counting: High and Low 1, 2, 3, and 4 Patterns
and ABC Corrections 259

CHAPTER 18 Wedge and Other Three-Push Pullbacks 301

CHAPTER 19 Dueling Lines: Wedge Pullback to the Trend Line
313

CHAPTER 20 "Reversal" Patterns: Double Tops and
Bottoms and Head and Shoulders Tops and Bottoms 319

PART IV Trading Ranges 327

CHAPTER 21 Exam…