What Works in Online Day Trading [Hardcover]

Mark Etzkorn (Author)

Book Description

ISBN-10: 0471372889 | ISBN-13: 978-0471372882 | Publication Date: February 15, 2001 | Edition: 1

Here is a uniquely honest examination of the online day trading concept, the firms that cater to it, and what works online and what doesn't, so that would-be day traders can avoid the pitfalls-and the losses. Discussing trading as a business that most traders conduct without a plan, this book addresses common trading misconceptions, provides realistic answers to critical questions, and features an investigative analysis based on real people who are day trading and the firms they trade at or through-whether through virtual trading rooms, the Internet, or real-time operations.

Editorial Reviews

From the Inside Flap

Fueled by a roaring bull market and breakthroughs in communications technology, online trading has taken a firm hold in the public imagination. The media has helped fan the flames of this phenomenon with sensational reports of hotshot traders who left the nine-to-five world to make fortunes working for themselves at their computer screens.

So much for the fantasies, but what are the realities of making a living in the markets? How solid are the average person's chances of coming out ahead, let alone making a killing trading online? Is the new electronic playing field really as level as the pundits claim? And, above all, what important lessons must beginners learn before embarking on a career as online traders if they don't want to see their dreams go up in smoke even before they get off the ground?

Written by a team of today's top online traders, trading coaches, analysts, systems experts, and financial journalists,What Works in Online Trading provides an in-depth look at what it takes to make a living in today's markets. This book will help you determine whether a career in trading is right for you, as well as give you the tools to get started. Plus you'll gain powerful insights-from trading professionals-into what really works online and what doesn't.

Because approaching online trading without clearly defined long- and short-term goals is so dangerous, this book takes a simple approach: Trading is a business and should be approached as such-with proper capitalization, a solid trading plan, and the skills to put that plan into action. With that in mind, What Works in Online Trading provides detailed analysis in four major areas:

? Trading Basics-What you need to know before you make your first trade including the mechanics of trading, how markets such as the New York Stock Exchange and Nasdaq work, and the inside scoop on today's trading technology, from direct-access brokerages to Electronic Communications Networks.

? Trading Strategies-Step-by-step instruction for implementing different trading plans, from swing-trading approaches to Level II scalping techniques, to taking profits out of the markets.

? Risk Control and Money Management-Learn the probabilities of trading techniques for limiting your risk, and how to integrate them into your trading plan.

? Trader Interviews-Read firsthand accounts-from "household names" to up-and-coming players-of what it takes to become a consistently profitable trader from those who have been there.

Understandable, concise, and realistic, What Works in Online Trading is a valuable source of insight and ideas for those currently trading online and must reading for anyone seriously considering it as a career.

From the Back Cover

Must reading for anyone thinking about taking the plunge into online day trading

If you're looking for an honest and authoritative assessment of different trading strategies, risk control techniques, and trading technology, you've come to the right place.

"Etzkorn has assembled a cutting-edge blueprint for those looking to move into online trading. Covering everything from trading basics like Level II screens to more advanced technical analysis, What Works in Online Trading provides all the tools to excel."-Henry O. (Hank) Pruden, Ph.D. Professor and Exec. Director, Institute for Technical Market Analysis at Golden Gate University, San Francisco, California

"With a career spanning nearly 15 years in the markets, both as a trader and writer, Mark Etzkorn, now Editor in Chief of Active Trader magazine, has gained the experience and the contacts to provide you with a well-balanced education on trading. Take advantage of the insight presented in this book."-Thom Hartle Editor, eCharts.com (www.echarts.com), and Vice President, Wizard on Wallstreet, Inc. (www.thewow.com)

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Product Details

• Hardcover: 304 pages
• Publisher: Wiley; 1 edition (February 15, 2001)
• Language: English
• ISBN-10: 0471372889
• ISBN-13: 978-0471372882
• Product Dimensions: 9.3 x 6.4 x 1.1 inches
• Shipping Weight: 1.3 pounds (View shipping rates and policies)
• Average Customer Review: 4.0 out of 5 stars  See all reviews (7 customer reviews)
• Amazon Best Sellers Rank: #1,358,525 in Books (See Top 100 in Books)

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Customer Reviews

Most Helpful Customer Reviews

16 of 16 people found the following review helpful:

5.0 out of 5 stars Strategies you can use, March 14, 2002

By 

Larry Warren "happy guy" (Prescott, AZ USA) - See all my reviews
(REAL NAME)   

This review is from: What Works in Online Day Trading (Hardcover)

I have read many "trading" books, and find this one a pleasant suprise. Section Two includes a good source of trading strategies that work, each one written by people who actually trade. Strategies covered include 1) pure price action by Gary Smith, 2) breakouts by Mark Seleznov, 3) seasonals by Steve Moore, et.al., 4) patterns by Mark Etzkorn, 4) springs and upthrusts by Hank Pruden, 5) Bow Tie patterns by Dave Landry, and a few others.

The strategies include a good summary of setups, entries, stops, and exits. These summaries are general enought that you can program them in most any backtest software you use, not just Tradestation or C++. I use them to backtest with TC2000 and TC Companion.

The book also has very good information on risk mangement, the mechanics of trading and the mindset of different trading styles.

The great thing about this book, is that it is a well integrated compilation of tools and techniques from a variety of well known and/or highly successful traders. The editor did a wonderful job of taking this diverse group and integrating the book into a very logical and usable flow.

While it may be too much for the pure beginner, this book will be most appreciated by the intermediate to advanced trader.

13 of 14 people found the following review helpful:

4.0 out of 5 stars Decent book, September 7, 2002

By A Customer

This review is from: What Works in Online Day Trading (Hardcover)

This is not your ordinary trading book, but one that teaches some real "usable" techniques. The book is broken up into chapters written by different people, so the tone of voice will change frequently. The prize of this book is the Seleznov breakout method, which anyone can use to trade profitably for life. That alone is worth thousands of times the price of this book. I'd recommend this for any serious amateur/semi-pro level short term trader who may be lacking a consistent trading system.

7 of 7 people found the following review helpful:

4.0 out of 5 stars Eclectic, but useful, January 1, 2002

By 

Sunny Reader - See all my reviews

This review is from: What Works in Online Day Trading (Hardcover)

This is an eclectic book. It doesn't focus on a major theme and is a collection of different people's views plus the author's.

I would not recommend this book for beginners who want to learn the basics because I don't feel the foundation is thorough.

It is a good book for those who want to see how others trade, their diverse techniques, and their opinions on trading. Also of value are the risk management techniques.

A more appropriate title would be: Different techniques by various traders and other trading tips.