Stop and Make Money: How To Profit in the Stock Market Using Volume and Stop Orders by Richard Arms (May 2009)
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Overview: Richard Arms is one of the world’s most respected stock market technicians. His expertise in this field is unparalleled, and his groundbreaking theories in volume analysis and market forecasting have forever changed the way traders perceive markets. Now, in Stop and Make Money, Arms presents a short-term approach to trading using the technical methods he has pioneered—as well as other established technical tools—over the course of his successful forty-year career.
In a straightforward and accessible style, Arms reveals how to profit from short-term price movements in the stock market—whether you’re buying or selling short—by accurately interpreting price/volume information and effectively employing stop orders to enter and exit positions.
Before getting down to details, Arms briefly explores some essential trading examples and explains the advantages of technical analysis. He also prepares you for the journey ahead by offering insights and advice on what you might need to achieve your goals, including charting services, quotations services, a brokerage account, and more. Then, in the chapters that follow, Arms skillfully illustrates the self-developed techniques that have allowed him to manage trades for maximum profits during his many years in the market. Topics discussed include everything from the Equivolume charting system and the Arms Index—also known as TRIN—to Volume Adjusted Moving Averages and Ease of Movement. Along the way, you’ll also become familiar with conventional technical tools, such as support and resistance, trendlines, and channels, which fit into Arms’s strategy.
While many of the drawbacks to successful trading have been largely eliminated, it still takes knowledge, discipline, and hard work to capture considerable profits. Nobody knows this better than Richard Arms. And with Stop and Make Money, Arms will show you how to observe and anticipate short-term stock market moves in order to improve your overall trading activities.
Genre: Non-Fiction, Business & Money, Investing, Technical Analysis
"One of the most interesting, innovative, and entertaining books on trading I have seen. He describes the difference between fundamental and technical analysis in the clearest terms and introduces his concept of Power Box, a powerful tool for determining trades. Finally, his discussion of the great value of stop orders is long overdue in the literature. I unhesitatingly recommend it for the beginning trader as an excellent description of a specific trading method and for the professional as a reminder of trading basics that should never be forgotten." —Charles D. Kirkpatrick II, CMT, Editor, Journal of Technical Analysis, and coauthor, Technical Analysis: The Complete Resource for Financial Market Technicians"A splendid book! The first two chapters allow traders to quickly review Arms’s methodology and techniques—and the drill-down concept in those two chapters allows them to quickly dig deeper on a particular topic. Everyone from novice to expert will find many nuggets of wisdom in these pages; even after forty-plus years, I certainly did!" —Walter Deemer, Publisher, Walter Deemer’s Market Strategies and Insights
"Dick Arms addresses the assumed risks in short-term trading. His expert application of technical analysis and the use of stops are the tools that will help you make money." —Ralph J. Acampora, CMT, former director of technical research, Knight Equity Markets, LP
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