Encyclopedia of Chart Patterns, 2nd Edition (Wiley Trading)

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I think this is one of the most comprensive books in chart patterns I ever read, I believe it is important to study this book as it helps me to analyze the chart patterns far better than other book. Before earning enough from his investments to "retire" from his day job at age thirty-six, Bulkowski was a hardware design engineer at Raytheon and a senior software engineer for Tandy Corporation. Joining Tour, Identification Guidelines, Focus on Failures, Statistics, Trading Tactics and Sample Trade is Experience. The key difference between this and other chart pattern books is that the findings are supported by empirical testing -they are not just someone's opinion. This definitive text includes new bull and bear market statistics, performance sorted by volume shape and trend, more than a dozen additional chart patterns, and a new section covering ten event patterns.

A lot of work has gone into this book and it could have been a really useful guide to assessing the merits of different patterns for trading purposes. Encyclopedia of Chart Patterns, Second Edition also includes summary tables ranking chart- and event-pattern performance for easy reference; a glossary; a chapter on methodology explaining what each statistical table entry means and how it was calculated; and a visual index to make chart pattern identification a snap. I'm interested in anything which helps put probabilities on my side when trading and this is a book which is all about measured results.In roughly 1000 pages, it contains 53 chart patterns plus 9 more event patterns which will pretty much cover you for any chart you come across…. Encyclopedia of Chart Patterns, Third Edition expands upon Bulkowski's immensely popular Second Edition with fully revised and updated material on chart patterns. Bulkowski also tells you exactly how to measure and identify patterns so you're not left squinting at your screen thinking, "Jeez, is that a Cup with Handle or a Double Bottom?

I've gone ahead and created my own, but standardized, ready reference cheat sheets would be a great additional resource. I was a bit cynical about the author initially, but when you read his book and his web site you don't meet the "savvy trader" you expect, you meet an altogether much more interesting and amusing character. It puts you in the passengers seat so you can share lessons learned from Bulkowski's trades This edition reports on statistics from nearly four times the number of samples used in the Second Edition and ten times the number in the First Edition The Encyclopedia of Chart Patterns, Third Edition further solidifies the reputation of this book as the leading reference on chart patterns, setting it far above the competition. To calculate the overall star rating and percentage breakdown by star, we don’t use a simple average. This broadened and revised Third Edition offers investors the most comprehensive, up-to-date guide to this popular method of market analysis.The Encyclopedia of Chart Patterns, recognized as the premier reference on chart pattern analysis, extends its lead with this Second Edition. He also lists statistical findings for performance, breakout targets, failure rates, etc, together with sample trades and advice on optimal strategy for each pattern. Before earning enough from his investments to retire from his day job at age thirty-six, Bulkowski was a hardware design engineer at Raytheon, a senior software engineer for Tandy Corporation, and a software manager for Tracor-Westronics. Being a math and finance major, I will eventually get to it and determine the validity of his findings, but for now, and for all intents and purposes, it provides a VERY detailed analysis coupled with vast experience from the academic mind of an engineer.