This looks a lot like the 1-2-3 reversal that Ken Roberts made popular with his incredible marketing back in the 90's. Like Brooks, Roberts never showed personal performance results, and probably never used a computer to examine loads of data to come up with statistics to back up his advice. This too was a MTR for Roberts, a major trend reversal, the #1 point needing to be an annual high or low. Then, Roberts advised a measured move from the reversal to some point at 50% of some other leg using the #3 point as a stop loss. Roberts claims to have gotten this from a really old book that was out of print (in his marketing narrative) which, though never admitted, was probably Magees book (or possibly Darvas) available for $5 at any used book store. An idea which he then resold for $199 with money back guarantee with $2000 in-person seminars on the backend. Sounds like Brooks recycles this, adding more technical jargon, as if to make it his own. Like Roberts, Brooks is/was a bar chart cowboy, watching charts (on paper or on screen) making trading decisions without the aid of computer analysis statistics, retaining all the golden gems of wisdom in his amazing brain full of pattern recognition . Roberts also recycled a version of the Turtles trend following system, (a valid concept) and sold just these two patterns for just $199. At least Larry Williams, who also sold a $199 "course" in the same era, included several patterns, most of which were backed up with computer analysis for statistics. The 1-2-3 reversal, if you just look at it, is simply the failure to make a higher high, and then drops lower than the last significant low, breaking the pattern of higher high, higher low....which is what a trend ... is. You can make money just from this much information but if anyone wants to kick me $199 I'll expand on that for you. Btw, Roberts (and Williams marketing company) used to send out little booklets, fold over, very colorful for free. My marketing gurus suggested that should/could be sold for $29 if it included substantive information. But the $29 "lead" would lead to a $199+ "backend" which leads to another backend. I was taught to fulfill any substantive promises within the $29 product, making the $199 backend technically not necessary.
What you said could all be true. I have a copy of Edwards and Magee. I also have Japanese Candlesticks by Steve Nison. Both of them discussed set ups. Still Al Brooks added the context to those set ups. Brooks himself acknowledged in his book that all set ups were discussed in Edwards Magee book. It is not just about the possibility of Al Brooks recycling old concepts. He himself admitted in his book. How does it matter as long as his books are offering education on the subject that his students find useful? I never attended his courses. I did read his books. I also read the other two books (Edwards Magee and Steve Nison). I still find his book to be a value add. Now how does this make all the allegations like "he is a snake oil salesman", or "he does not trade" or "he does not share his tax return copies" relevant? The cost of the book was USD 75 for delivery at my place. Did I get more value than that? Hell yes. This is all that matters. It does not matter how much money he made, or, in which zip code he lived etc. What is your goal as a trader?
Does not matter much. This book costed me just USD 30. I have another book on the same subject published locally in India and it costed me just USD 4. I found this 2nd book more valuable. Still all the expenditure on these books is small compared to the income from trading. That is my point. https://amzn.eu/d/05dBGk0
I haven't alleged that Brooks sells snake oil, or doesn't trade. I was just annoyed. Too little up front (didn't respect my time and attention) with an apparent deliberate drive to pull me in to a backend that was not clearly defined, leaving me to think I had just received his wisdom for free, which I hadn't. Roberts built a huge empire on just those two simple, recycled patterns available for $5 at used book stores. So it's possible Brooks has too. We will never know how much comes from cowboy trading (eyes on the screen, shoot from the hip decision making) or from information sales. My copy of Edwards and Magee came free from a library giveaway section. The interesting thing about it are all the handwritten margin notes and yellow highlighter that some serious student had added in a quest to master the material. He probably ended up repackaging his own synthesis into a $199 "course". The 1-2-3 reversal and the Turtle, or Darvas trend following systems are valid if systemized with statistics. I'm sure Brooks has something to offer as well that he synthesized, but which you may need to synthesize further. He just annoyed me in his up front marketing, constantly flexing on me.
No you are the making a claim he does trade. I care less whether some YouTube Influencer trades or not. Whether his books or seminars have any value to the viewer if for them to decide of course. I choose to listen and learn only from those who have really walked the walk, talked the talk.
Where did I claim that he traded? I said that many here are commenting without reading his books. I read his books. His trading nor tax returns matter to me. I said that the book is for serious trader as given in the title. You either did not read my post or did not even read the title of the book and you are commenting on its author. You clearly posted in this thread that he is not a trader. Check Post#205 on this thread. Can you back up your claim? And, now, when I ask this question, you seem to go in circles. If you don't care for a youtube influencer, why are you wasting time on this thread? If the books, seminars add value to the viewer is something the viewer/ reader has to decide, then let me tell you I am the reader and I decided that they add value. So what do you want to say now?
This one is for you: https://elitetrader.com/et/threads/jack-hersheys-books.15336/ BTW how is your new school TA going? So you found the holy grail beyond trend capture and mean reversion? You can check post#206.