The New Science of Technical Analysis

Preface

If you are seeking a panacea for all your trading ills, this book is not your cure. There is, in fact, no infallible investment approach. Extraneous items outside the realm of market research also contribute to a trader's performance. Specifically, considerations such as sound money management principles, including both capital preservation and strict trading discipline, are key components of trading success. The parameters of this book are limited to research, and any discussion of money management techniques and of market psychology is incidental to the presentation of market timing tools and methods. This is not to imply that a trader could not survive profitably using solely market timing models, but rather to stress the fact that other variables not addressed in this book play a vital role in distinguishing between a mediocre and an accomplished trader.

Throughout my career, I have been fortunate to have been associated as a partner, a consultant, and an employee with many of this generation's most notable investment luminaries and companies. I have advised the companies of individuals such as George Soros, Michael Steinhardt, Leon Cooperman, and Laurence Usch; have worked as executive vice president for Paul Tudor Jones; have established a trading company with Charlie (“D”) DiFrancesca; managed a futures fund with Van Hoisington, and created market timing systems with Larry Williams. In addition, I have served as a consultant to the key decision makers at various ...