Customer Reviews

Fibonacci For The Active Trader

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

 

 

Blends heavy influence of Dinapoli with some Pesavento and Robert Miner. I did notice he used Dynamic Trader for his charting examples, yet failed to mention a thing about Elliott Wave in his methods. The book is simple to read, very much like a Larry Connors style of book. Presents 8 methods, many of them overlapping each other in theory and setups. Basically, trades off confluences of a particular fib retracement (essentially a Wave 4 retracement) and then gives simple fib targets. A trader would gain the most from this book by having an EW background and then interpreting the setups to incorporate with wave counts. Otherwise, I think a new trader might look too hard for a "higher high" and so forth, just to match the setup.

Understanding and applying Fibs to trading is essential to my trading now. Fib numbers help me find likely reversal zones in both day and swing trading. The institutions are programming their computers for the common Fib levels, so the private trader needs to know where these levels are to play off the institutional traders.

Hobbs does a good job of illustrating how Fibonacci can be used to find likely reversals setting up. The interesting thing is that Fibs can be added to almost any trading strategy to make that strategy more powerful. It's one more tool for justifying trading decisions and giving you a little extra edge.

There are some interesting fibonacci patterns and concepts in this book, but the examples were well chosen and looks great in hindsight. Problems with these types of "line" studies is that if enough lines are drawn on a chart, then sooner or later price will bounce from one of them. My recommendation is to purchase Fibonacci Applications and Strategies for Traders by Fisher. Its a good read and gets to the core concepts. This book is just a variation. Average at best.

This is an excellent starter text for anyone wanting to get going with Fibonacci. Before I picked up the book, I really hadn't taken Fibs very seriously and although I knew they existed, I didn't really do any research on them to be of any value. That's strange being an engineer by profession, as I always try to understand something before discounting it. It was still a fuzzy area as I didn't know how to use them, and I was trapped in the "collecting indicators" cycle like so many other traders.

I loved the pace of this book. The authors introduces the reader to concepts in a clear and measured manner so that all the info can be digested properly before moving on. For a new beginner in Fibonacci this works really well. The text is simple and straightforward and the author does not leave the reader scrambling to re-read sections just to make sense of it. The math is explained in a comfortable manner so that it should be readily acceptable to the average reader and not leave him/her feeling like everything is going over their head. The charts are clear and complement the text adequately. After explaining the basics, the authors moves on to detail some of the setups he uses for his Fibonacci trading. You can take these as they are presented or adapt the methods to your own style as required.

Overall, I found this book to be an excellent read for the new trader trying to get his hands around Fibonacci. Once those basics are mastered, you will never see a chart the same way again. As I had always suspected, price leads everything else and Fibonacci adds a mathematical beauty to the whole prediction process that, once you can start using the Fibonacci method, you'll be glad you got on board.

This book will help you do it. It's amazing to me how many so-called "traders" do not know this information. Mr. Hobbs does an excellent job of presenting the material and even has his own Fib patterns included.