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