Stop and Make Money

RICHARD ARMS, a financial consultant to institutional investors and a private portfolio manager, is a noted expert in the field of technical and market analysis. Arms has created key technical tools for understanding market price movement, which are listed daily in the Wall Street Journal and included in a variety of market analysis software programs. His Equivolume charting system is now part of the most popular stock and futures software, and his Arms Index—also known as the Short-Term Trading Index or TRIN—has become one of the most important technical tools on Wall Street. Arms received the prestigious Market Technicians Award in 1995.

"... a valuable addition to the limited literature available... essential reading for any trader who uses candles on a regular basis." (The Technical Analyst June 2008) "Richard Arms' 'equivolume' charts provide the clearest depiction of how price and volume interact." (Investors Chronicle, March 27th 2009)

• Acknowledgments ixAbout the Author xiIntroduction The Great Opportunity 1Chapter 1 Let’s Get Started 7Chapter 2 A Pair of Shorts 19Chapter 3 Why Technical Analysis? 27Chapter 4 The Market Is Always Right 33Chapter 5 Equivolume Charts 39Chapter 6 Getting Ready to Trade 47Chapter 7 Choosing Your Route 53Chapter 8 Power Boxes 67Chapter 9 Okay, Let’s Buy 77Chapter 10 Stop Orders for Getting In 87Chapter 11 Stop Orders for Getting Out 95Chapter 12 A Play, Not a Position 103Chapter 13 Minding the Gaps 109Chapter 14 Tops and Bottoms 115Chapter 15 Flags, Pennants, and Rectangles 121Chapter 16 Support and Resistance 133Chapter 17 Trends and Channels 139Chapter 18 Targets 145Chapter 19 Ease of Movement and Volume-Adjusted Moving Averages 151Chapter 20 Is the Market Going to Go Up or Down? 159Chapter 21 The Arms Index 165Chapter 22 Market Tops and Bottoms 173Chapter 23 In Conclusion 179About the CD-ROM 183Index 187