New Blueprints for Gains in Stocks & Grains and One-Way Formula for Trading in Stocks & Commodities (Traders' Masterclass) [Hardcover]

William Dunnigan (Author)

Book Description

Publication Date: April 25, 1998 | ISBN-10: 0273630962 | ISBN-13: 978-0273630968

This pair of classic works, from master-analyst William Dunnigan, introduces and applies the renowned one-way formula--a complete technical trading system for stocks or commodities.

Editorial Reviews

Review

This work is the second of the "Traders' Masterclass" series and is one of the classics of technical analysis. These books were originally published in 1956 and 1957, shortly before Dunnigan's death. The signature work here is One-Way Formula For Trading In Stocks & Commodities. It was Dunnigan's dream to develop the nearly perfect mechanical system, and he notes that One-Way Formula comes closer than anything he has ever seen. Some of the more successful gurus of today continue to use this formula with little change from the way it is presented here. New Blueprints For Gains In Stocks & Gains is a two-part book that set up the understanding of the One-Way Formula. -- Technical Analysis of Stocks & Commodities, April 1998

About the Author

WILLIAM DUNNIGAN

To our knowledge the greater part of William Dunnigan's life was dedicated to a close association with stock and commodity markets and what makes them tick technically. Technical Analysis was extremely important in his life as it was in this field of endeavor where he eventually decided lay the keys to the exploration of the interacting forces of time and price movements. His prowess as a market researcher and the many papers he produced on his findings, we know, earned him the respect of his peers, a thing he appreciated. His finest writings can be found in the last two books he wrote before passing away in 1957—New Blueprints for Gains in Stocks and Grains, 1956 and One-Way Formula for Trading in Stocks and Commodities, 1957.

Product Details

• Hardcover: 304 pages
• Publisher: Financial Times/Prentice Hall (April 25, 1998)
• Language: English
• ISBN-10: 0273630962
• ISBN-13: 978-0273630968
• Product Dimensions: 9.6 x 7.4 x 0.9 inches
• Shipping Weight: 1.3 pounds
• Average Customer Review: 4.8 out of 5 stars  See all reviews (8 customer reviews)
• Amazon Best Sellers Rank: #2,004,658 in Books (See Top 100 in Books)

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Customer Reviews

Most Helpful Customer Reviews

54 of 59 people found the following review helpful:

5.0 out of 5 stars A truly great trading system is decribed - BUY this Book., August 23, 1998

By A Customer

This review is from: New Blueprints for Gains in Stocks & Grains and One-Way Formula for Trading in Stocks & Commodities (Traders' Masterclass) (Hardcover)

Reviewed by David Watts.

New Blueprints for Gains and the One -Way Formula are both classics in their field. New Blueprints extends and reviews the Dow theory and considers the application of technical analysis with insights that you will not obtain elsewhere. But the real meat of Dunnigan's work are the two trading systems described - Gains in Grains and the One Way Formula. These two systems are worth 100 times the price of the book! While Gains in Grains describes a valid trading system this is really the lead on to what is a classic of Trading System Design namely - The One Way Formula.

The One Way Formula is without doubt a master-work in the field of Technical Analysis and Trading Systems. It took 3 years work to refine and a lifetime to build up the knowledge to derive this clasiic system. Founded upon trend identification and sound trading rules it represents one of the pinnacles of technical trading systems. For both Stocks and Commodities the Market Analyst or Trader is given a precise guide to trading strength or weakness and unlike most systems is based upon the inherent structure of the market. For this reason its signals are sound and it often avoids trading in the choppy sideways markets where there is little potential to profit. Hence I heartily recommend the One Way Formula as a systematic trading system that surpasses those $3000 or more trading systems often invented without the depth of research and analysis of the work of William Dunnigan.

The One Way formula actually confirms my suspicions that the most valid systems are the result of long observation of the behavior of the market. Dunnigan derived his system by hand charting the stocks and commodities that he studied, his actual testing of the system was also carried out by hand. Examples are given throughout the text. With modern computers we can replicate his studies in seconds but we cannot replicate his understanding of the market. Understanding is often the result of long and arduous toll and the almost instant results we can obtain from computer studies do not lend themselves to the deep and thoughtful analysis that results in a system such as Dunnigan's work. It is for this reason that few in any systems can today hold a candle to the One Way System, which can trade any market and is devoid of optimization. I hence recommend that in trading the system that you spend the time to thoroughly understand its concepts and methods. While the system is complete it takes some time to become familiar with the rules of the One Way System, I had to read some sections some two or three time to become fully follow his ideas and frequently consulted the charts to understand the system.

The system identifies market structures using the swing relationships and only upon confirmation takes a position. The system may be run by hand charting or as the system lends itself to objective programming I have spent some 1200 hours coding the system into Omega Tradestation and Supercharts. Results so far have been impressive validating the system as described. The One Way Formula System as described may be run on Weekly Stock charts or Daily Commodity charts and is thus idea for the individual trader. However it may be equally at home in any time frame of trading. The tools and systems described in the book really come alive on the trading screen. The program and tools will become available commercially, please contact me for details - [e-mail].

The stop system may be improved and the system does not take every trading opportunity, but this is to its credit and overtrading only makes the Brokers rich. But as a way of understanding the dynamics or strenght or weakness of the market this system has no equal!

Hence if you are a student of the markets or a stock or commodity investor or trader you cannot afford to be without this book. A great classic work and BUY this book.

5 of 5 people found the following review helpful:

5.0 out of 5 stars Great system but can't be used in a vacuum, June 27, 2003

By 

Michael L. Martin (Chicago, IL United States) - See all my reviews

This review is from: New Blueprints for Gains in Stocks & Grains and One-Way Formula for Trading in Stocks & Commodities (Traders' Masterclass) (Hardcover)

I programmed this system into Tradestation 2000i, it took me almost 3 weeks just to conceptualize how I would program all it's rules properly but after I finished I realized that this is really a gem, you can tell that the author really has an understanding of the structure of how the markets work, of course you will have to pick stocks or commodities that are already moving by using ADX or etc but this really is a good system especially in catching changes in the direction in trends hopefully I'll have it programmed for Metastock before the end of the year also. I don't use it myself I prefer Bill Williams method ("New Trading Dimensions"). There is no magic grail so again selection is important but the sytems holds it's own....

4 of 4 people found the following review helpful:

5.0 out of 5 stars For Position Traders, February 7, 2005

By 

Liviu Barbu "traderone" (California) - See all my reviews
(REAL NAME)   

This review is from: New Blueprints for Gains in Stocks & Grains and One-Way Formula for Trading in Stocks & Commodities (Traders' Masterclass) (Hardcover)

The best method I have ever tried for a position trader. Works best with high liquidity stocks and stock indexes on weekly data. Use ADX 14 and 20 MA to confirm the presignal. On stock index (S&P 500 and Ridex funds for the short part)I enter with a 1/4 at presignal if confirmed. This is a must buy text book. How come nobody says anything abot this method in any other books I've read or seminars attended. One of the best secrets kept together with "The Taylor Trading Technique" by George D. Taylor or "Steidlmayer on Markets"s last few pages. Good trading!