Trend Following: How Great Traders Make Millions in Up or Down Markets

Discussion in 'Educational Resources' started by alesanti, Jul 17, 2006.

  1. alesanti


    Any opinion from this new book?


    Table of Contents


    PART I.
    1. Trend Following.
    The Market. Winning and Losing. Investor v. Trader- How Do You See the World? Fundamental v. Technical- What Kind of Trader Are You? Discretionary v. Mechanical- How Do You Decide? Timeless. Has Trend Following Changed? Trend Following Modus Operandi- Follow Price. Follow the Trend. Handling Losses. Conclusion.
    2. Great Trend Followers.
    Bill Dunn. John W. Henry. Ed Seykota. Keith Campbell. Jerry Parker. Salem Abraham- Texas Pioneer. Richard Dennis. Richard Donchian. Jesse Livermore and Dickson Watts.

    PART II.
    3. Performance Data.
    Absolute Returns. Fear of Volatility; Confusion with Risk. Drawdowns. Correlation. The Zero-Sum Nature of the Markets. George Soros Refutes Zero-Sum.
    4. Big Events in Trend Following.
    Event #1- Stock Market Bubble. Event #2- Long Term Capital Management Collapse. Event #3- Asian Contagion and Victor Niederhoffer. Event #4- Barings Bank Meltdown. Event #5- Metallgesellschaft. Final Thoughts. The Coming Storm.
    5. Baseball- Thinking Outside the Batter's Box.
    The Home Run. Moneyball and Billy Beane. John W. Henry Enters the Game. Pedro Stays In.

    6. Human Behavior.
    Prospect Theory. Emotional Intelligence- Daniel Goleman. Charles Faulkner. Ed Seykota's Trading Tribe. Curiosity Is the Answer, Not Degrees. Commitment to Habitual Success.
    7. Decision-Making.
    Occam's Razor. Fast and Frugal Decision-Making. The Innovator's Dilemma. Process v. Outcome.
    8. Science of Trading.
    Critical Thinking. Chaos Theory- Linear v. Nonlinear. Compounding.
    9. Holy Grails.
    Buy-and-Hold. The King of Buy-and-Hold- Warren Buffett. Losers Average Losers. Crash and Panic- Retirement Plans. Wall Street- Analysis Paralysis. Final Thoughts.

    PART IV.
    10. Trading Systems.
    Risk, Reward, and Uncertainty. The Five Questions for a Trading System. Your Trading System. Frequently Asked Questions.
    11. Conclusion.
    Slow Acceptance. Blame Game. Understand the Game. Decreasing Leverage; Decrease Return. Fortune Favors the Bold.

    A. Personality Traits of Successful Traders. B. Trend Following Models. C. Trading System Example from Trading Recipes. D. Modern Portfolio Theory and Managed Futures. E. Critical Questions for Trading Systems.
  2. Surdo


    I hope you did not pay for it!
    The author is not a trader, FYI.
  3. Rip off!!!

    Are you trying to advertise this book or something by this post?

    Quite a lot of information, and a picture of the book as well? :p
  4. alesanti


    No trying to advertise, just trying to know if it is worth 15 bucks used.
  5. Surdo


    $15 is a huge commitment!
    Why not start a poll?
  6. alesanti


  7. as many of you know, i am not a trend follower.

    however, i am mentioned in the book on trend following.

    MC is a gifted author, the book is a good, enjoyable read but its premise is fatally flawed.

  8. MC is a gifted "author" who has taken learning traders for a ride with his overpriced courses and pathetic support for years. To give him money by buying the book is offensive IMO. FWIW I wasn't one of the suckers but you can find an educated discussion on Cvell on Curtis Faith's site -

    Even if he mentions Surfer (and lots of other people who give him good reviews in return for their 4 minutes of fame) you are better off avoiding the book.

    Also, the amazon reviews on the book are stacked with negative reviews removed at his request. Its a funny old world ... at least the markets are honest.
  9. alesanti


    Why do you think that the trend following is a flawed theory? I think that to qualify a theory as flawed (as well as to sustain it) you have to have quantitative reasons. I was interested in the book because I think that trends are ubiquitous in trading and I hope that this author can bring an explanation (I mean a quantitaive one, or a one sustained by statistics). I don't know if he provides something like this.
    Not being a trader, for me, does not diqualifies him to do some research on trend following theory.
  10. The book reads like a sermon. Imagine being hungry and then filling up on pop corn. Having said that, I do not believe that the premise of trend following is "fatally flawed" as repeatedly proclaimed and pronounced by marketsurfer.
    #10     Jul 17, 2006