5 comments about Missed Fortune: Dispel the Money Myth-Conceptions--Isn't It Time You Became Wealthy?.

1. Like many of the other reviews, I agree the concept is interesting and makes sense for very specific cases. I would be causious of thinking this is for everyone who owns a home.
   
   The concept in general is simple, which I like. If you can explain it to a 12 year old then I think you have a good grasp of the idea. Doug does a good job of breaking it down so that most of us can easily understand and probably explain it to a 12 year old. Applying it over the long term is something entirely different. In California most people do refinance or sell every 5 so years. This concept at least tells them to focus on saving rather than spending it, something that most Americans do not do well.
   
   I would recommend reading it and understanding it but talking to several advisors and other people who have experience with this before acting.



2. This is an excellent book with many examples of how changing your money management and especially you equity management strategy will result in greater wealth and safety in investing for you. The only reason I did not give it 5 stars is that the author belabors several points and essentially is just repeating the same material over and over. Other than that, the ideas and strategies are well worth looking at and the authors heart is in the right place.



3. After readying this you will see the MOTIVATION for the Agents selling this line of BS, it will take most of you over 20 years to have any type of REAL NET return on your Life Insurance Policy. Want the TRUTH talk to an unbiased ACTUARY not a saleperson making a fortune off of your home equity. I am telling you when people finally realize what is taking place lawsuits will start to fly, IMO.
   
   When did the Life Insurance Agent become a charitable organization?
   
   Anyone who is believing this so called NEW way of thinking is either really bad with math or simply does NOT understand Life Insurance. There is a REASON you don't see REAL professionals using this concept they KNOW the TRUTH!!!
   
   What is the ROI on my home Equity? MORE THAN ANY LIFE POLICY!!!!
   
   After you learn how to subtract out all the commissions and fees, then the REAL cost of the death benefit, loan fees for your house loan fees for the life policy let's sit down and compare which approach works best. Having my house free and clear with NO COMMISSIONS to pay, no loans, and no INCREASING internal costs for the life insurance will BEAT any Life Policy I GUARANTEE IT!
   
   Here is a shocker to reality. If you bought into this BS and mortgaged your house and placed the money into a life policy order a current statement for your policy showing the SURRENDER CASH VALUE in the first year, HOW MUCH did you LOSE? Then look at the 5th year how much have you LOST? Tenth year? Do the REAL MATH find out the REAL FACTS.
   
   LIFE INSURANCE is one of the HIGHEST commissioned products in the financial industry FACT! Where do you think that money comes from, YOUR POCKET.
   
   Here is a little KNOWN FACT there are currently MANY so called experts out there today TRAINING for a large fee many other life insurance agents how to SELL LARGE COMMISSIONED life insurance policies. They don't care if you need a policy or NOT they only care about SELLING a policy. Check the facts. Some are even paying for cruises for Seniors then encouraging them to apply for insurance. IT IS HIGHLY PROFITABLE to someone BUT NOT YOU the policyholder.
   
   You will see many lawsuits in the coming years from these abuses when the you know what finally hits the fan.
   
   By the way did you know that it was illegal for you stock broker to encourage you to take out a mortgage to buy a REAL INVESTMENT? It should also be illegal for Insurance Agents but it's not, well not YET, time will tell.
   
   Where is Elliot Spritzer when you need him?
   
   I wish more people would ask the harder questions before believing this new line of BS.
   
   FACTS The INSURANCE AGENT want to hide from you: Insurance agents make about a 30-50% commission on term life insurance and around 90-95% commission on whole life products. Keep in mind that this is the first year commission on the premium and subsequent year commissions are much lower with an average of 6% per year for whole life products and 4% per year on term life insurance products.
   
   One of the great problems with whole life is only an expert can tell if a policy you own or are considering will ever become a decent investment. James Hunt, actuary for the Consumer Federation of America, who has analyzed thousands of policies, notes that whole life policies hardly ever yield a reasonable return unless held for 20 years or more.
   So if you buy one be prepared to pay into it for the very long haul.
   The key to a whole life policy is its internal rate of return -- the yield on the policy after all fees and charges are subtracted. A competent analysis can determine at a minimum whether the weight of the fees and charges built into one of these policies will ever allow a worthwhile return. Such an analysis will also pinpoint the minimum amount of cash value that you can derive from a policy at any given time interval.
   Some financial planners, actuaries and accountants can perform internal rate of return analysis on your policy. The Consumer Federation has a service that will do this, calculating the real return year by year and comparing it with other investments. The fee is $50 for the first policy, $35 for each additional. Call 603-224-2805 for more information.



4. This book breaks down the conceptual justification of WHY not to pay off your home early and use other investment vehicles until you have amassed enough cash to do it as a lump sum payment and the DIFFERENCE if you follow there method on your overall retirement planning. The first 15 chapters are beneficial to anyone but the last ones require money! You know, it takes money to make money! Well, the last part resounds that! What average guy has the assets to get over-fund an $8M universal life insurance policy? The banks definitely don't want you to read this! Most people still think pay off now...You'd better read this book before you work like a slave to do that or cash in your nest egg n light of all the residential housing market SNAFU in Q4 2007! A good book to read after you understand the principle of Investing and Personal Finance (and I suggest the no fluff approach of the Dummy series).
   
   One interesting note that the author never really fully explains is how he manages to take a $5000 downpayment on his first home and allow it to really mushroom into a multi-million dollar retirement account. Yeah, there are examples of rolling homes and over-funding insurance policies but he never tells you the risks or cautions you about the personal sacrafices you have to make or consider to make this happen.
   
   I will definitely apply many of the principles of this book to my situation but it shouldn't be construed as the "Solution" to all your financial shortfalls! Remember, Knowledge is Power!



5. Add this to the list of schemes that tell you how to get rich in a fantasy world. Pass on this one and save your money,(you'll get rich faster).

2 comments about How To Make One Hell Of A Profit and Still Get In To Heaven.

1. This is one of the very best books I have read regarding prosperity and the way we view money. Dr. Demartini approaches the concept in a way I have never seen before and I have had too many "lightbulb moments" to count. I have purchased 4 of these books and shared them with friends, I was so excited about it. I highly recommend this book to anyone who wants to stretch their thinking a bit outside the box and gain some new insights about how they think and feel about money.



2. Ok, this book isn't a book about a literal heaven nor does it define spirituality according to any specific religious doctrine. This book is for those folks who have uncomfortable attitudes towards making money because they feel it violates their moral or ethical codes, whatever the name of the code.
   
   A surprising number of people are very uncomfortable with the idea of buying and selling and especially of making money on their work. They don't mind receiving a paycheck as long as it isn't "too big" (whatever that means), but to actually make something and sell it for as much as the market will bear causes them sincere and very painful anxiety. Years ago, when I taught piano full time and had a full slate of students that I charged what was a good rate for the time, one of my friends asked me how I did it.
   
   So, I told her what I did, how I built the number of students, and what I charged. She said she could never charge that much for teaching music because it was unfair to the kids. Well, guess what, she didn't end up teaching many students even at her lower rate. And she had to go work at another job because she couldn't make enough money at what she was willing to charge. Is there a lesson here?
   
   This book takes a person with the kind of fears and anxieties of my friend and walks them through why it is a good thing to charge and make money. What you should do to save and build with that money and how to use money to enrich rather than become the focus of your life.
   
   If you are a person with these kinds of stultifying attitudes towards money, this is a good book to read and think about. However, if you are already a businessperson with a good understanding and attitudes towards making money, well, this book is probably too basic.

5 comments about Principles of Financial Engineering, Second Edition (Academic Press Advanced Finance) (Academic Press Advanced Finance).

1. A wonderful book with a great didactic approach! Very clear but never mundane. The best introduction to the field so far. It's only drawback is the sometimes slightly unintuitive notation.



2. I am a student of Prof Neftci in the Applied Math for Finance MS program at Baruch College. He is a great teacher and has written this wonderful book. This is the text book for the Calibration course he teaches at baruch.
   
   The best thing about it is in the practical approach it is written with. It tries to explain the finance as interpreted by practioners like traders...the engineering of finance rather than the science of it. Knowledge of basic parobability thoery, martingales, PDE and some stochastic calculus is assumed. The book itself has less emphasis on mathematical rigour but there are plenty of other references for that.
   
   The strength of this book is in its practical utility in understanding the market and the rational behind the products that exist in it and the priciples of pricing and hedging those.
   Chapter 11 on the Fundamental Asset prcing theory is a gem and is the workhorse for pricing many of the products like swaps or swaptions.



3. As someone who teaches derivatives to practitioners and in a Masters program, I can't praise this book too highly. It is clear, comprehensive and, most importantly, concentrates on practical applications. I was particularly pleased with the chapter on repo, which is usually underestimated in importance, without requiring a whole, specialist book.
   
   For someone with a fundamental, but non-quantitative background in financial markets (MBA or CFA level), this is the ideal place to go next before more specialised and quantitative books. The advantage of having studied this book first will be to have a clear picture of the forest for the trees.
   
   My only (small) criticism is that the book would have been even better if it had included a chapter (or two) on the multi-tranche asset backed security structure followed by cash and then synthetic CDOs. I do hope that might be rectified in the next edition.
   
   Bravo!



4. Neftci is one of those rare authors who can begin at the begining, explain his major point and logic without excessive jargon or short-cuts, and do so without sacrificing depth and substance.
   
   In a field were the readable texts are for MBAs or elementary practioneers or for the initiated members of the priesthood, here is one of a few handful of authors (Wilmott and Joshi as well) that are both clear and serious, rigorous and accessible, insightful and a plerasure to read.



5. Prof. Neftci gave one of our mandatory course - Financial Engineering, in HEC Lausanne. This book is the reference book for this course. His lecture is great, a lot of jokes and funny stories as well as insights about financial engineering. However, I find out that the book is even better than his lecture.

5 comments about Commercial Real Estate Analysis and Investments (with CD-ROM).

1. Commercial real estate is not for the faint of heart. I have been in residential real estate for a while and have on several occasions dealt with commercial real estate folks and issues surrounding it.
   
   On the plus side, if you are looking for an exhaustive source of information on evaluating commercial real estate, you have arrived. This volume is going to give you all the information you need to analyze any situation to death. Perhaps to the point that small bits of brain dribble out your ear.
   
   If your a dabbler... or someone who has thought, "Gee... I wonder if commercial real estate would be interesting to get into?" then this is NOT the place for you to start that journey of self discovery.
   
   There are much smaller, shorter, lighter more digestible books out there on the subject that will give you a feel for what you might be getting into.
   
   So, if you are someone already knee deep in commercial real estate, or someone deadly serious about being able to really analyze commercial properties, then this one is for you.



2. Just everything okay, considering it had to be shipped from the US to the UK, arrived even earlier than some of the books I ordered same time from UK suppliers.
   Small unsubstantial damage on cover of book though, probably caused by transport.



3. This book is really serious. It gives you data sets, a massive amount of study questions with solutions and sample programs (Argus & Crystal Ball--which is used for probability). This book is like the bible. It goes from simple real estate i.e buy low & sell high all the way to mortgage backed securities, options and derivatives. After reading the book you will know more than most executives.
   
   It may not be for those that are more into urban planning or construction management, but if you need and want a book that blends real estate with the capital markets this is the one.I highly recommend it.



4. This is one of the most comprehensive, analytical and thorough texts on topics concerning commercial real estate investment that I have come accross. It would be useful for both advanced students with real estate interests and finance professionals, who seek exposure to fundamental real estate (and real estate securities) analysis. Participants in the real estate industry mishgt find the text useful, but basic. The book is also useful as a reference guide for real estate professionals looking for a particular mathematical formula.
   
   The authors cover a very broad range of topics - from urban economics, to fundamental (supply/demand) real estate analysis, to real estate valuation techniques as well as more specialized topics, such as commercial mortgage backed securities and real estate development. The book really stands out in the breadth of its disourse both on qualitative and quantitative topics.



5. Although I haven't finished reading this text, I think I can accurately comment on it. The information comes from an economics perspective. that's a good thing, if you have an economics background, which I do. I like the way this book reads. It offers a good deal of information about commercial real estate using both financial and urban economics. I don't believe this book is appropriate for an undergrad student. This book assumes you have a basic finance background and some understanding of urban economics. In short, if you have an econ degree or even a finance degree, I think you'll find this text very useful in helping you to understand what drives the commercial real estate market, how to predict where this market is going, how to analyze it, and how to valuate it.

5 comments about Think BIG and Kick Ass in Business and Life CD.

1. The book is motivational. I'm not sure if Trump is a geneous or a psychopath but at the very least the book makes you think, pumps you up and is interesting to hear Trumps' view on things.



2. Great audio book. It gives you insight on how to think differently about your business dealings. It also gives guidance on how to get from where you are to where you want to be, all by thinking big. I listen to parts of it before important meetings or interviews to get into the "think big" mindset. I definitely recommend this book.



3. I love this CD! It tells you things just like it is. No candy coating. It's clear and easy to understand with examples. Worth every penny!



4. This book is inspirational. The only thing that would improve it would be if he read it himself. I highly recommend for anyone remotely intersted in doing anything that they are currently not doing, but want to. It is a powerful motivational tool.
   
   Also, it has many interesting stories about the Don's personal life which are always fun.



5. I bought this book because my boss told me it was good. The thing is that my boss really don't like Trump. He got the book from a friend of his as a prank for his birthday. I thought if someone who doesn't like Trump really liked the book, it had to be good.
   My boss was right. The book is great. It has some good stories and really makes you think about re-evaluating your goals in life and aiming a little higher.

5 comments about Blood on the Street: The Sensational Inside Story of How Wall Street Analysts Duped a Generation of Investors.

1. Did you lose money in the tech bubble during the late 90's? Gasparino goes behind the scenes to reveal how investors were completely duped by the world's largest investment firms. If anyone wants to know the games Wall Street plays with the markets, this is often my number one suggestion.



2. Plenty of detail here in this book about the Internet IPO craze of the 90's and all the players involved.



3. This book shows that events, people, and situation that lead to the economic down turn in the 2000's. It is now happening again in 2008!! The differences is situation, location, and the products. The same cast of characters (CEOs) are still profiting through deceit. The common denominator is still greed.
   
   The majority of the problem is:
   
   Back then, it was tech stock analyst.
   Now, it is subprime mortgage back security bonds analyst.
   
   With the analyst's endorsement/downgrade to a product:
   1. It can either be a buy or a sell
   2. It can either be a triple bond rated or a Junk bond
   
   If you can influence/corrupt an analyst's OPINION (such as managers putting pressure on the analyst), you can make a lot of money because investors base on their investments base on the analyst's research/opinion. At the same time the buyers/investors such as small investors and yes- even towns all over the world gets screw.
   
   How do they get away with lies without the SEC getting on their back?
   The corporations contribute to the SEC's BOSS's campaign.
   
   Base on the Wall Street's pattern of deceit, the next wave of economic down turn may hurt not only the small investors, and towns but even major cities.
   
   This book is a must read for every investor.



4. For those of you like me, who have not lived/followed the dot.com bubble and decline, this book will somewhat be helpful: it draws the chronological events with probably some details, confidential elements and definitely clearly picture the Bad Guys responisble for the disaster that led to so many individual investors financial failure. Lesson I have learned, as an individual investor: Always use your JUDGMENT-Do not trust so and so because they have been experience or because they seat in a fancy office in Wall Street.



5. Blood on the Street is an excellent factual account of the research analyst scandal that drove the internet craze of the 1990s and ultimately the bubble that burst in the early 2000s. Even though this book is now several years old, it is helpful, as this country is currently undergoing another financial crisis, to look at past crises to inform judgment on how this and other scandals are created. For that purpose, this book remains very timely.
   
   However, despite the clear benefits, I found Blood on the Street to be lacking in some important areas. For one, I found that the flow of the book was quite poor - it read more like a series of magazine or newspaper articles than a single cohesive work. For example, Gasparino frequently repeats himself unnecessarily (he explains what it means to engage in short selling no less than four or five times throughout the book). I was also left wondering why he chose to portray Mary Meeker (the "Queen of the Internet") as a singularly sympathetic character, despite her obvious contributions to the internet bubble. Without evidence to the contrary, I can only conclude that he did so only because she was the only analyst to cooperate with his research, which, if true, would represent a serious deficiency in journalistic integrity. Finally, I found a number of particularly graphic accounts of certain communications involving Jack Grubman to be gratuitous, demeaning an otherwise good piece of journalism.
   
   Gasparino invites comparison with Michael Lewis's "Liar's Poker", the account of the rise and eventual fall of Salomon Brothers, by referring to it several times in the book. This comparison is not a good one. Because of the quality of the writing, Blood on the Street falls short of the stand for tales of Wall Street excesses, a standard set by Lewis and by James Stewart ("Den of Thieves", probably the best of this genre).
   
   That said, Gasparino deserves a great deal of credit for the work he did with the Wall Street Journal to identify the issues discussed in this book (as well as credit for understating his role in that process in the book itself). From a factual standpoint, Blood on the Street hits it right on the head. The research analyst scandal was an embarrassment to the broker-dealer community and to the securities industry as a whole.
   
   Blood on the Street is well worth the read for the sake of educating yourself on the facts of the research analyst scandal and for providing context to other market disturbances, including the most recent. Just don't expect too much.

5 comments about A Complete Guide to Technical Trading Tactics: How to Profit Using Pivot Points, Candlesticks & Other Indicators (Wiley Trading).

1. This book is very easy to read and follow a lot of concepts the author has mentioned. It provides a very good trading guidelines about how to make a trading decision based on the pivot point calculation and candlestick charting technique. If you know a little bit of candlestick charting, you would enjoy this book very much. In addition, it warns the traders to utilize other technical indicators as well. The more technical indicators support your conclusion, the better of placing a successful trade in the spot market. As you know every technique has some pitfalls. The author mentions that "Once in a while you will lose your shirt, but do not lose your pants because the money is in the wallet.". A very true statement. The trader always tries to survive for the next trading opportunity. I have started incorporating a lot of concepts in my trading decisions. I would encourage every trader to read this book. Learning is the ultimate way of surviving in this very volatile market.



2. I agree with a couple of posts that say this is a very basic book, and that most of the information could be found for free on the internet. I would go as far as to say that some information would be better if read on the internet.
   
   The examples about pivots (the key part of the book), one chart after another were not easy to follow. The section on TA was woefully lacking. The author has a section on Gann theory, and more or less advises to go buy the book that Gann wrote. As it turns out, there is some pretty rich information about Gann on the web.
   
   My biggest pet peeve about this book were the continual subliminal references (advertisements) to the author's subscription based website. Besides that, I did not like the blatent plugging of the people who praised his book on the back cover. It's okay for an author to put their website on the back of the book. If the information stands on it's own then I can go to the website to learn more. What's not cool is to give vauge trading strategies, then give some glowing account of how your subscription newsletter called the shots.
   
   I did give the book two stars, which means I wasn't totally dissapointed. He does stress a couple of good points regarding pivots, but it's all pretty basic beginner stuff.



3. I thoroughly enjoyed the book and appreciated John's candor and willingness to share methods to achieve profitablity in trading.
   I would recommend this book to anyone looking to learn a methodology
   of trading using candlestick formations and pivot points.



4. What I really wanted to comment on was the website that is frequently mentioned in this book. Navellier does the same thing, for example. These websites are useful as resources, as confirmation of one's own independent analysis and research. A variety of analytical techniques, combined with a rating from one of these websites for some more confirmation, is not a bad way to trade. However, I find subscribing to a lot of these services as not only expensive ($50 a month subscriptions add up quick) but not so useful to RELY ON. (notice I said rely on, rather than not useful to use... they are very useful for providing extra information.)
   
   By the time you move into a suggested position the "real" clients of these trading strategies have already taken their positions and possibly run up the price, making the ideal bottom point of a run difficult to get in on.
   
   It is really common for trading manuals to seem like marketing ploys for their websites. If the site is a FREE SERVICE and provides research and technical details, then use it. Books that get one revved up by saying how much money their clients are making, "Go to my website to see how we do it..." (fine print- thanks for buying my book, but now you have to subscribe to my website) Be wary. Very wary. Use this information as a RESOURCE, not a crutch. As I mentioned earlier, as confirmation of one's own analysis these sites can be excellent informational sources, and can provide easily accessible, time-saving analysis. The more information from a variety of sources you employ, the better off you are.



5. John L. Person is not only a brilliant trader, but more importantly a very wise and level-headed individual, at least from what I can gather after reading this book. He has a very clear understanding of what it takes to be a successful trader, as well as a very comprehensive understanding of the tools that are required to be at such a level of consistency.
   
   If you can approach this book with a open mind about all the issues he delves into, you will be undoubtedly put in the right direction to success. This is definately one of the best books I have read on trading, from an overall perspective. I only wish someone had referred it to me before I read the 15+ other books prior to obtaining a copy of this one, because it definately would have sped up my learning process.
   
   For whatever it is worth, I thoroughly recommend this book to anyone and everyone who is the field of trading and isn't already highly accomplished (in fact, this select group may even benefit from his carefully selected quotes at the start of each chapter - they are all amazing).

3 comments about Equity Asset Valuation.

1. It is an extremely important reference book because I am preparing for CFA Level II exam. I've found the book an introductory one to illustrate basic concept in investment industry. Any one who wants to enter the investment banks,mutual funds,asset manangement corps. should have this book in hand.
   
   I strongly recommend it to all candidates on the road to getting CFA charter, and other partitioners in investment field may also find it helpful.



2. This was one of the better finance books I've come across and a definite keeper for reference. Instead of mindless rambling or chocked full of jargon, the material was concise yet contained enough detail to cover all aspects of equity valuation that one might need to know suitable for the CFA Level II prep. But even for laypeople who have no intention of taking the CFA, this book will be very easily understandable with just a rudimentary background in basic finance theory.
   
   The layout is very logical, basically covering the four important aspects of equity valuation: DDM, Free cash flow models, price multiples, and residual income. Under each of these, the reading builds up to form a bigger picture of what needs to be understood. Examples are very clear and do not rely on specific methods of solving, such as being only relegated to math equations, spreadsheets, or financial calculators. You basically can approach any of the problems in whatever way you want. The emphasis is on understanding rather than route "do it my way" methods. The book appears to have been very well proofread, so you don't find numerical errors that can make you pull your hair out as with other books.
   
   There is also a workbook for this series but at my time of writing, it has yet to be released. When it is out, I would give this book series six stars in strength.



3. This book is the same book with a different name. The first edition was called "Analysis of Equity Investment Valuation." After reviewing the table of contents as well as several chapters, I have the following to report: The Table of Contents is the same; and the rest of the book is the same, too. The pages don't exactly match because in the new book the block paragraph style has been chosen.
   
   You do not need this book for the CFA. If you call the Institute, they will tell you not to purchase the source books because the program has been tailored specifically for the candidates. Instead, the Institute mandates that you buy the "program".
   
   If you really want the book, then buy the old version for a fraction of the cost. The content is the same.

5 comments about 45 Years in Wall Street.

1. all



2. Most famous for his 24 never-failing rules - basically follow the trend, use stop losses, and never average down. Also includes lots of useful Dow data back to 1912 - with swing charts, etc.



3. This book was written in 1949. By all means what put forth by Gann as the 12 and the 24 rules are still valid today. In fact, his ideas are still being copied in simply all other trading books. Even the diary like section in Soros' Alchemy of Fianance did resembled the style of a majority part of this book. In short, a must read for any trader!

   Remark: One might think that I am a crazy Gann friend. To justifiy the title I put for this review, I would like to summarize Gann's 12 and 24 rules for one's reference:-

   The 12 rules:-
   1. Determine the trend
   2. Buy at single, double and triple bottoms
   3. Buy and sell on percentages
   4. Buy and sell on 3 weeks' advance or decline
   5. Market moves in sections/waves
   6. Buy or sell on 5 to 7 point moves
   7. Study volume to determine change in trend
   8. Study time factor and time periods to determine change in trend. (p.s. when a time period on a decline exceeds that of a previous decline, it indicates a change in trend)
   9. Buy on higher tops and bottoms
   10. A change in trend often occurs just before or after holidays. (p.s. when prices are at high levels there are usually several swings up and down, then when the market breaks the low of the last swing it indicates a reversal and change in trend)
   11. Buy on a second reaction at a higher bottom. When it reacts only 2 days, it is in a very strong position.
   12. Price gains in fast moves does not last very long.

   The 24 rules:-
   1. Never risk one tenth of capital in one trade.
   2. Always use stop loss orders.
   3. Never overtrade.
   4. Never let a profit run into a loss.
   5. Do not buck the trend.
   6. When in doubt, get our or dont get in.
   7. Trade only active stocks.
   8. Equal distribution of risk in 4 or 5 stocks.
   9. Trade market order.
   10. Dont clsoe your trades without a good reason.
   11. Accumulate a surplus
   12. Never buy just to get a dividend.
   13. Never average a loss.
   14. Never get out/in of the market because of impatience or anxiety.
   15. Avoid taking small profits and big losses.
   16. Never cancel a stop loss order after you placed it.
   17. Avoid getting in and out of the market too often.
   18. Be just as willing to seel short as you are to buy. Let your object be to keep with the trend and make money.
   19. Never buy/sell just because the price is low/high.
   20. Wait till the stock is very active and has crossed resistance levels before pyramiding.
   21. Select stocks with small volume of shares outstanding to pyramid on the buying side.
   22. Never hedge one stock by another.
   23. Trade with a plan and do not get out without a definite indication of a change in trend.
   24. Avoid increasing trading size after a long period of success.




4. "45 Years in Wall Street" was actually Gann's last book, written in 1949 (he issued a revised edition of his commodities book in 1951), in which he presents the final version of his cycles-based system. Since cycles can extend, shorten, invert, and skip, Gann offers several trend-following methods to minimize damage from forecasting mistakes and to keep one on the right side of the markets. His excellent, 24 trading rules afford advice on money management, risk management, trend-following, trade entry, and exit techniques that are currently valid.
   
   Gann always openly hinted that the details for his celebrated forecasting method were concealed in his writings. This book, as is all others written by Gann, is written on two levels. The first level is expository and describes how to swing-trade. The arcana submerged in the second level can be approached by examining the recurrent themes about time, price, and geometry, and the dates which he feels are significant. Details for Gann's time and price model are contained in all of his books and major courses with the exception of "Tunnel Through the Air."
   
   Strangely, the weakest part of this book is the final chapter with Gann's predictions for the early 1950s. Gann felt that 1953 was going to be a year of post-war depression rivalling the great depression of the 1930s. His cycle model indicated a strong down-turn which actually became a cyclical inversion where the market turned sharply upwards - such are the hazards of public forecasting! However, Gann followers should not have lost money during the 1953 inversion, because their swing-trade methods would have self-corrected this forecast error.
   
   Whatever level one chooses to tackle, this book is a worthwhile addition to anyone's trading library.
   
   Addendum, August 28, 2006: Gann stated that it was not possible to use his methods in forecasting unless one used the appropriate starting points. Some such starting points for the next several years, representing important stock market pressure points from which to construct timing squares, are as follows (Yr-Mo-Dy): 060922; 070110; 070403; 070723; 071109; 080228; 080520; 080908; 081226; 090416; 090707; 091026; 100212; 100506; and 100825.



5. This book is extremely boring. It has time series descriptions as: Monday 10.8, tuesday 9.5, wednesday 9.7, thursday 10.2, friday holiday etc... that could be better presented by a chart. Also his 3 point rule is poorly described. The paper quality is also poor. Only the first chapter is interesting because of the rules (some advice) that you can read cheaply on one of the book reviews.
   Overall, boring, tedious, expensive and not very informative.

5 comments about The Stock Market Course.

1. Great idea for a book, but poor execution. The idea is to introduce novices to the stock market and teach them all the fundamentals. But this book is so poorly organized and biased that novices will be only confused, and more knowledgeable investors disappointed. The authors are the sponsors of a web service for options traders, and they never fail to recommend their service. The book is biased toward options trading, technical analysis, momentum trading, and chart analysis: not strategies for beginners.
   
   The organization is extremely confusing, seemingly random, and with lots of repetition. For example, the chapter on option trading comes before the chapters on market analysis. At the end of each chapter there is a summary of the main points of the chapter; great idea, but the only problem is that the chapter summaries do not accurately reflect the chapter contents. For example, the chapter summary for "fundamental analysis" lists the PEG ratio as a key point of the chapter, but the chapter doesn't even mention the PEG ratio! PEG ratio isn't mentioned until a later chapter on "analyzing company reports." In that chapter(p. 237-8), the authors suggest that a P/E ratio of 143(!) is quite acceptable for a growth stock (EMC corp) and that a stock with such a P/E would make a good investment!! EMC Corp. fell from $101 in 2000 to $4 in 2002. It's trading now around $10, with a P/E of 21 (July 2006). On a similar note, Enron is described as a "green" or environmentally friendly stock.
   
   Even worse, the book presents no coherent program for investing in stocks, just a bunch of random, often contradictory advice. It turns out that all the indicators for avoiding a stock are also good indicators for buying the stock if you are a "contrarian" investor. Hardly a coherent trading program for novices.



2. Excellent course material. The course advises when to get into market, when to exit. I am very satisfied.



3. I picked up this book again after having read it about a year ago. I highly recommend that any beginning investor read this book--more than once and at different times as his/her own investing experience and confidence increases.
   
   There are many things to recommend about the book, but I'll focus on the the most key. First, the book is written in a conversational style that engages the reader. Second, the book discusses all of the major areas in which all investors need to develop skill--it provides the bones of competent and comprehensive investor education. Third, the book layers those bones with enough meat to give the beginning investor a foundational understanding from how the market physically works through technical analysis. Fourth, all of the material is reinforced through the summary "Roadmap of Success". I highly recommend this book. I also recommend George Dagnino's Profiting in Bull and Bear Markets for investors who want to ensure that their investment decisions are in tune with the natural economic cycle.



4. AND...
   Are you among the large percent of OVERWHELMED people wondering...
   What the HECK are STOCKS?
   
   Well, this is the book for you!
   
   The authors George A. Fontanills and Tom Gentile did an excellent job in presenting the BASICS of the stock market. This is the real deal. They thoroughly cover all aspects of the stock market and the factors that affect it. We call this book Stock Market courses 101, 102 and 103 because after finishing this book, we feel you will possess enough knowledge to be able to trade the markets effectively, or at least understand the process. The great part is that there is a workbook for this material you can purchase to test your newly found wisdom and to reinforce the major concepts in the book.
   
   Starting out totally clueless about the stock market, we feel we have been enlightened!



5. The book discusses in great detail all the important stock market ratios and indicators and many of the lesser ones. It expounds on many styles and strategies to buying and selling stocks, including active trading strategies, value investing, technical analysis and fundamental analysis. The problem I have with exposing the beginner to strategies such as active trading is that research has shown that it is futile and will result in a loss for nearly all traders after trading expenses (You are up against thousands of MBA graduates who will stay up later then you and get up earlier then you ). I believe the downside of each strategy should be explained and who has been successful using it, so that the beginner has an idea of what he is up against. That being said, there is tremendous value in the book because of its detailed explanation of how to analyze company reports, what the valuation indicators mean (ie, p/e) and how to use them.