Customer Reviews

Techniques of Tape Reading

5 star:		(11)
4 star:		(6)
3 star:		(2)
2 star:		(1)
1 star:		(7)

 

 

There is nothing in this book about tape reading. Nothing.

I am a trader. I trade every day, and actually read tape. This poorly written, and unedited assemblage of words is virtually worthless for anyone desirous of becoming a student of tape reading. There is simply no real tape reading content, and the content that resides on these pages is not worth reading, especially if your goal is to become a better trader.

I was intrigued by the title, as you likely are. It seems that when an author has nothing of value to contribute to the trading community, they try to sell their junk by creating a catchy title. It must work to some extent, because the tactic seems to be used a great deal. Read my other reviews for more information.

For some insight into the art of reading tape try, Tape Reading & Market Tactics by Humphrey Neill, and Studies in Tape Reading by Rollo Tape. Both were written long ago, and are valuable contributions to a trader's education. There has been nothing of value written about tape reading in the past 50 years, that I can find.

A final word of advice. Be skeptical of favorable reviews of this book. If you are interested in tape reading, there is nothing here. Also, read reviews written by real traders. For insight into the reviewers' sincerity and discernment, scan all of their reviews. Similar to tape reading and market analysis, one can determine which book reviews to believe and which to ignore from the reviewers' history.

I finally got around to reading this book and am happy to say that I can recommend it (not that what I think matters all that much, but there is so little I can find to recommend, I just thought I'd mention it). There's been little of value written on tape reading since Neill's book in the 40s, and before that, Wyckoff's work in the 20s and 30s. Possibly the popularity of "indicators" stole some of tape reading's thunder, since indicators are purportedly "simpler" to use.

I had hoped that the book would be a bit more thorough, but after finishing it and giving it a second read, I understood that what Vad and Chris are trying to do is reduce TR to a set of basic principles, easy to explain, easy to understand. The buts and unlesses and on the other hands are left to many specific examples which illustrate just what it is they're trying to get across. In this way, one can come up with his own examples to illustrate the concepts rather than rely on some sort of "blueprint", in the event that he is trading a different market, a different bar interval, a different timeframe, or even using indicators to supplement his judgement.

Unfortunately, the book begins with what has become the obligatory "once I was a loser and then I became a winner" section. Not that it's boring or that there's anything wrong with this sort of autobiographical touch. After all, one would most likely be put off by someone who puts out a trading book beginning with only his successes and giving no hint of the often rocky road one must travel in order to achieve those successes. But those who have read more than a few trading books are likely to find that they could have skipped this and gone right to the meat of the book, i.e., the principles of tape reading, and there's plenty of meat here. No, the book is not encyclopedic, but, contrary to what you may have heard, tape-reading does not require the encyclopedic approach. Keep It Simple.

If all you have, then, are Wyckoff and Neill, this should pull everything together for you in a way that will enable you to gain some traction on this tape-reading stuff. The advice on how to create a setup and how to evaluate what you've created should be of particular benefit to beginners who continue to struggle with this and with the misleading notion that the riches lie in finding that one perfect golden setup.

I have read a great many trading books and this has got to be in the top 5, I think it could well become a classic.

The book is divided into three parts. The first part is mainly concerned with the development and psychology of a new trader. Now although there are other books which are entirely devoted to trader psychology, "Trading In The Zone" by Mark Douglas springs to mind. The authors have covered this very important topic in a very easy to understand manner.

The second part delves into the art of tape reading, numerous set ups are explained, and stops and exit strategies are presented.

The final section describes in detail 33 different trades, each with the appropriate chart. These trades help to reinforce the material presented in part 2 of the book.

I think this book is not really suitable for the absolute beginner, but once one has got some basic TA down, then this would be an excellent next choice.

One of the best tape reading books available. For any trader new to tape reading, this is a must read.

Covers the teachings of Wyckoff and Neill. The author shows various setups combining price and tape with the final section dedicated to charts. Alot of good information covered in this book from volume & price analysis, tape, trader pscyhology, etc...

Tape reading and volume analysis are pure information. Master these techniques and you will always be one step ahead of the crowd.

A must have for your trading library.

James Lee
www.traderslaboratory.com

The book is clearly written and easy to understand. It is a training manual for traders that first describes the evolution of the author/trader from beginner to accomplished trader, including not only the financial, but psychological challenges and crises he faced as well, which helps the beginning trader realize they are not alone in what they face and experience.

All the while, he builds a psychological model of a successful trader and the requisite skills and talents for the individual to develop to fulfill this important aspect of trader development.

In the second part of the book he explains his trading system, and the basics of the tactics and strategy he uses in his daily trading, and the market battlefield that the trader will face daily. The third part of the book goes from the theory of part II to the reality of application: It is a catalog of over 30 historical examples from his trading diary that show his system in action.

The book provides a solid foundation for those who want to explore the trading profession. As I said, it is clearly written and easy to understand. And for those who decide to stick with it, the book provides a reference touchstone to be revisited repeatedly throughout your career.

I need to make one comment about a review written earlier: True, the book is not solely about tape reading, but who trades that way anymore? The tools available to the modern trader, as well as the vasteness and velocity of current day markets, relegate the tape to a position as an arrow in the quiver as opposed to the sole tool available, as it was in the first half of the 20th century. Charts are now real-time representations of the markets in action, and aren't charts visual representations of tape action?

Also, it may be true that the information contained in this book can be found somewhere in the myriad publications on the subject of trading, but the point is, if the examples and arrangement resonate with you, or provide the analogy or presentation that aid your development, then, isn't it worth it?

Besides, if you're making this your profession, your library should have, at one time or another, every book written on trading. Keep that which works for you, and throw the rest away.

Finally an updated book on Tape Reading!!

I've known Vadym for several years from the SI threads. I followed much of his knowledge over there since then. When I read this book for the first time, I found the insights of solutions to the problems he faced and overame to be very close to my own trading. The real life experiences of this book really illustrated for me what a true trader must do to become successful. I am mainly a TA trader. The principles of this book in regards to Tape Reading will definitely enhance my TA skills.

The only downfall is that if you are looking for NYSE examples, there are none. Vadym and Chris seem to still be Nasdaq traders. Although, the way the principles are presented, you will be able to apply the Tape Reading ideas to anything you trade. Highly recommend this book and I look forward to reading this one every 6 months to catch things I missed. Thank you Vadym and Chris. - Dan

I follow Chris on Realmoney.com through his daily trading track. I don't really trade the same way he does, but his accuracy at predicting and trading off NDX levels was always interesting to me. I figured there must be something to it in his Tape Reading skills. This book seems to describe his partner more, rather than how to really trade off NDX levels, so I was somewhat disappointed in that. However, there are a few gems regarding the progress of a trader, mental preparations and overcoming trading problems that will probably help me. As for the Tape Reading part, the principles were easy to read and understand. One of my hardest problems in trading is knowing how to differentiate accumulation and trend signals. This book helped me to do that as well. I would recommend this to anyone as a solid read and addition to their trading library.

I met Chris at the Chicago Expo a couple of months ago (what a nice guy because he stayed behind for 15 minutes to talk to me and answer all my questions) and decided to buy the book after listening to his presentation on tape reading. The presentation he gave had principles of tape reading and examples. I learned quite a bit from it. This book was very helpful in continuing what he talked about at the expo. I was in the same boat as others that looked at tape reading as watching trades and trying to figure out what they meant. After reading this book, I learned more about what tape reading can do for my trading plan since I position trade, not daytrade.

I have tried a few of the concepts such as the capitulation setups and euphoria setups with a fair degree of success when I can watch the volume indications described in the book. I don't daytrade but I do position trade and I'm glad that I see these concepts and principles work in that time frame as well. The psychology part of the book was good also.

After reading a few other reviews, I can say that I also wish they had more listed examples as that is my primary market. But I think those that feel there is no tape reading are wrong. There are some fair examples of volume/price indications in several time frames that show what the idea of tape reading is.

Anyway, I recommend the book.

The first part of this book is the best part. It talks about Vadym's progression from a losing trader to a winning trader. I would recommend reading the book just for this if not anything else. However, the tape reading part doesn't tell much about what real tape reading is. It tries to describe some principles behind volume but nothing in depth into how to interpret time and sales information, read tick information or read blocks. Plus, there are no NYSE examples which leaves 1/2 of the market out of the examples. While the first part of the book is excellent, the title is misleading as most of the value is in the first part with some attempts at Tape Reading in the second and third.

Are you a trader? Do you want to be a trader? I have been trading for 18 months. I guess that makes me a beginning trader? I have read every highly reccommended trading book there is. Theory is not what this book is about.
This book is about REALITY. This book tells it the way it is.
I trade for a living. I have been a member of several trading sites. I am not a member of the author's site. Now, I trade on my own. I have no agenda. The author clearly tells you the MARKET is your teacher. Trade what you see and not what you think. You can read twenty or more books like I have, or you can read this book. This book gives you enough to TRADE.
I have made more MONEY since I bought this book. If you are a trader, the book is worth alot. The author's concept of risk management has made me alot of MONEY! Selling on those volume spikes works!
If you are thinking about starting to trade this book could help you be one of the 10% that makes it day trading AND save you thousands. These concepts work in the market. I use them every day!
I would buy this book first, Douglas's second, Nison's third, and forget the rest. I hope this helps someone make the decision to buy this book which WILL help you. I only have one complaint, WHY didn't they publish this information two years ago?
Best of Luck with your trading!....... And Watch that volume, if you can learn to read what it is telling you, you will be a trader!