V.17:4 (165-174): The Channel Breakout System by Mark Vakkur, M.D.

V.17:4 (165-174): The Channel Breakout System by Mark Vakkur, M.D.
Item# \V17\C04\027CHAN.PDF
$4.95
Availability: In Stock

Product Description

The Channel Breakout System by Mark Vakkur, M.D.

This is one of the simplest and oldest trading techniques, where trades are initiated based on price exceeding a given historical level. Hereís how the channel breakout system works using the Value Line index, IBM, and the Fidelity Southeast Asia Fund.

With the proliferation of affordable and powerful system-testing software, it is tempting to create and optimize increasingly complex systems with multiple rules, exceptions, and corollaries. Often, however, less is more. One of the simplest technical analysis systems is also one of the most robust and effective: The channel breakout system simply and elegantly forces the market participant to keep in sync with the major trend. Letís explore the classic channel breakout system, a system that does not even require a computer to use.

TO START WITH

Most technical analysis systems can be divided into trend-following and oscillating. Some of the oldest and best systems, from point & figure charting to simple moving average systems, are nothing more than an objective attempt to identify and follow a trend until it changes. If the markets had no noise, there would be no need for technical analysis, no need to identify the most significant underlying market action.

Consider point & figure charting, which filters out all price movements below a certain threshold, such as a three-box reversal. The resulting xs and os reveal patterns that might otherwise escape the naked eye when viewing a standard bar chart and screen out others that might mislead you into a premature trade.




FOR THOSE ORDERING ARTICLES SEPARATELY:
*Note: $2.95-$5.95 Articles are in PDF format only. No hard copy of the article(s) will be delivered. During checkout, click the "Download Now" button to immediately receive your article(s) purchase. STOCKS & COMMODITIES magazine is delivered via mail. After paying for your subscription at store.traders.com users can view the S&C Digital Edition in the subscriber's section on Traders.com.




Take Control of Your Trading.
Professional Traders' Starter Kit
All these items shown below only $299.99!
  • 5-year subscription to Technical Analysis of STOCKS & COMMODITIES, The Traders' magazine. (Shipping outside the US is extra. Washington state addresses require sales tax based on your locale.)
  • 5 year access to S&C Archive
  • 5 year access to S&C Digital Edition
  • 5-year subscription to Traders.com Advantage.
  • 5-year subscription to Working Money.
  • Free book selection.
  • Click Here to Order