Course Outline



  1. General Market Theory
          Introduction
          Comparison of Technical and Fundamental Analysis
          Basic Premises of Technical Analysis
          Advantages of Using Technical Analysis
          Criticism of Technical Analysis
          The Dow Theory
          Trading Mania

2. Charting Fundamentals 
          Introduction
          Types of Charts
          Daily Bar Chart
          Using Daily Bar Charts
          Support and Resistance Levels
          Identifying Support and Resistance Levels
          Trend Lines
          Retracements
          Price Gaps
          Point and Figure Chart
          The Elliot Wave Theory
          Fibonacci Numbers
          Cycle Theory

3. Price Patterns  
          Introduction
          Reversal Patterns: Head and Shoulders
          Double Top and Bottom
          Rounded Top and Bottom
          V-Formation or Spike
          Continuation Patterns: Symmetric Triangle
          Ascending and Descending Triangles
          Flag and Pennant
          Wedge
          Rectangle
          Continuation Head & Shoulders
          Candlestick Patterns
          Confirmation of the Analysis
4. Technical Indicators
          Introduction
          Moving Averages
          Moving Averages Difference Oscillator
          Relative Strength Index
          Momentum
          Stochastics
          Bollinger Bands
          Pivot Point Analysis
          Volume and Open Interest
          Historical Volatility
          Advance/Decline Line
          Overbought/Oversold Indicator
          Advance/Decline Volume Line
          TRIN - Short-Term Trading Index
          Comparative Strength Index
          Call/Put Ratio

5. Trading System Development 
          Introduction
          Basic Examples of a Rule-Based Trading System
          Trading Systems and the Computer
          Developing the Trading System
          Setting Entry and Exit Rules
          Slippage, Commissions, and Bad Luck
          Optimization and Curve-Fitted Trading Patterns
          Trading System Example

6. Money Management  
          Introduction
          Investing vs. Trading
          Futures vs. Stock Trading
          Leverage
          Realistic Expectations
          How Much to Trade With
          How Much to Allocate per Trade
          How Much to Risk on Each Trade
          Correlation and Diversification
          Using Stop Orders to Protect Against a Loss
          Stop Placement
          Risk Reward Ratio
          Ride Your Winners / Cut Your Losses
          Psychological Factors
          Margin Calls
          Pyramiding
          Equity Curves
          Mock Trading
          Cautions About Trading the Markets