Recognizing Price Action by Matt Blackman
Here’s a look at the anatomy of one trader’s winning trade.
In the first of two interviews I conducted with stock trader Dan Zanger for this magazine in 2003, I asked him what indicators he used to amass $18 million trading stocks in less than two years. His answer was surprisingly simple. “I use absolutely no indicators whatsoever. I simply rely on chart patterns, price, and volume. Who has the time to look at so many indicators when you scroll through 400 stocks a night?”
But the obvious question is, if it’s so simple, why don’t more people do it this way? Clearly, there’s more to Zanger’s success ...