Customer Reviews

5 Day Momentum Method

5 star:		(7)
4 star:		(2)
3 star:		(3)
2 star:		(0)
1 star:		(5)

 

 

First, Amazon should allow ZERO Star Vote, that's how I would rate this manual.

Approximatively: 60 US-letter pages, printed only on one side , 12 introcution and advertising pages, 15 with simple graphics annoted by hand, 15 with a few lines describing the graphics, and some thin explanations. This method can be explained in a line : buy trending stocks and use stop-loss ! Woaa Thanks.

And how to find trending stocks can be discovered in any good Technical Analysis book explaining ADX, Stochastics, and other TA indicators.

See what -A reader from Houston, TX , April 30, 1999- is saying...

At more than 1$ a page that's the holly grail for the author! Buy some good books on AT like Murphy, Schwager, Pring, Blau, etc and you'll get all you need to find trendy stocks. A really disappointed buyer... or should I say a victim ?

I read the reviews from other buyers of the book and was quite surprised at the negativity which were in these comments.

I have traded this method since the manual came out and have made very good money doing so. I can only think that the trader from Houston and the trader from Brussels have not understood the overall way in which to trade.

I agree with Downtown that you must take profits when you see fit. Discretion is important. The method is a TREND FOLLOWING system keep that in mind.

I highly recommend the method.

Jeff Cooper is no different than most other writers of stock market books. He makes his money from selling books. Cynical? Not really. If he in fact does make any money from trading in real life, other than what his father probably left him, it's because he has an endless source of seed money coming in from the people who buy his books. I read his book at Barnes & Noble. It didn't cost me anything. Also, to trade his method (which isn't really different from any other day traders or momentum traders methods) requires a sophisticated order entry system. Using E-trade, Daytek, Ameritrade, etc., or any of the usual online brokers won't allow you to get in and out of the trades at the prices you want. And if you put in mechanical stops instead of mental stops, the market makers will stop you out every time as you sit on the sidelines fuming, as your stock moves up. The fact that Cooper didn't explain this very important point makes me question his credibility. He should have also told you that you really need Level II quotes software to trade this way. Save your money and do your own research. It's not that hard to find stocks that are gapping up from good news, favorable earnings or because some leading brokerage upped a stock's rating to a strong buy.

I have tested and traded many systems within the last year and was looking for a short-term swing pattern trading methodology that was simple and controlled losses and I can tell you that by just trading this system alone will make you money, don't think that just because it takes readily available information and puts it together in a way that produces a great trading system, that this book isn't worth the money, It IS! I can tell you from experience that when it comes to trading, it's the simplicity that is rare and effective. If you want a system what will allow you to trade right away with great results than buy this book

If you had used the method outlined in this book between January 15 and February 5 of 2004, before commissions you would have lost between $177.00 and $2703.00 under ideal conditions trading 100 shares every time a trade was appropriate. By "ideal conditions," I mean getting filled every time at exactly the price you wanted. Because this is not always a possibility, you would have lost more than this.

The loss of between $177.00 and $2703.00 indicated here represents the range from the best possible price on day 5 to the worst possible price on day 5 for each trade that would not have been stopped out.

Using Jeff Cooper's criteria, the only possible opening trades would have been to short PIXR @ 66.16 on Jan 15, buy ACH @ 73.00 on Jan 20, buy NTLI @ 68.24 on Jan 22, short PIXR @67.12, on Jan 22, buy NIHD @ 98.96 on Jan 23, buy NTLI @ 68.66 on Jan 23, short UNP @ 66.54 on Jan 23, buy NVEC @58.85 on Jan 26, short MTB @ 91.94 on Jan 27, short BUD @ 51.19 on Jan 28, buy RIMM @ 86.67 on Jan 30, buy MICC @ 71.95 on Jan 30, buy NFLX @ 73.09 on Jan 30, buy NVEC @ 57.06 on Jan 30, sell PIXR @ 64.94 on Feb 2, short KRI @ 76.48 on Feb 2 buy MICC @ 74.39 on Feb 2, buy 100 NTLI @ 67.03 on Feb 2, buy 100 NFLX @ 74.73 on Feb 2, sell KRI @ 75.85 on Feb 3, buy RIMM at 86.51 on Feb 5, and buy NFLX @ 72.15 on Feb 5.

The results that I have given here do not take into account the outcome of the second to last trade (buy RIMM @ 86.51 on Feb 5), since five trading days have not yet elapsed and the stock would not yet have been stopped out as of the time of this writing.

Acording to the methodology outlined in the book, one must only trade securities that are over $50.00 per share in price. Another stipulation is that the stock either have an ADX reading of 35 or higher, or, alternatively, that it have an IBD Relative Strength rating of 95 or higher for long positions. I chose the second alternative for this study, since it is easy to screen for these criteria using IBD's web site.

Jeff Cooper said that, for short positions, it is possible to drop the minimum price to $40.00, but I only used prices greater than $50.00, since he also said that the higher the price, the better the results would be.

Another criterion of the author's was that the 8-day Fast %K stochastic reading must be under 40% for long positions and over 60% for short positions. I calculated these stochastics using spreadsheets of prices downloaded from Yahoo. The formula that I used is the one provided at the end of the book's appendix.

Having pointed all of this out, I should also mention that I have no doubt that this method was working well when Jeff Cooper wrote about it. However, that was at a different time, and various market strategies might work for a while and then fade out, due in part to differing market conditions. (There is also the possibility that I have not selected a long enough time frame to yield a large enough sample for statistically significant results.)

I would be very interested in knowing what methodologies the author is using now, because whatever he is doing now is probably working. Jeff, are you willing to share any of your latest secrets with us?

The question is, why would anybody share such a "profitable" technique ? With such a powerful technique, don't you think the author would be managing the Magellan Fund ? Well, I guess the author realized the money he could make by selling books.

Nothing special...read this cheesy manual and it is nothing new or special. It is simply a momentum trading manual at a high price. Get a book encompassing a broad range of methods for swing trading and you will be much better off.

As the title states, he gives you a simple pullback type of method based on two indicators. The logistics of is is solid and I have no doubt it can be profitable over time with proper money management. You may be better served just to check this out of the library, as it is quite simple and can be typed up in half a page.

Very good methodology. Makes good Sense. However, you must get a daily update and have a computer program to find the set-up's. No one there would tell me that, so I returned the book! If you have trade station or something similar, I would say go for it.

I have read and used the 5 Day Momentum Method and it has performed remarkably well.

This system was developed for those who want to make money without having to sit in front of a screen!

I can only suggest that you take profits when you see fit, although the system can be traded mechanically, I as a trader use discretion, as Cooper states in the Manual.

A true gem for those who want to see profits in there trading.