The Art and Science of Technical Analysis: Market Structure, Price Action, and Trading Strategies (Wiley Trading)

Grimes' work, and make no mistake, this IS a "work", is as close to as good as it can honestly get in this genre. While written in simple accessible style, this is no breezy weekend read. One of the most sage bits of advice comes right at the start: when finished, go back and study certain chapters again. The reader that will get the MOST out of this contribution, in my view, is someone who already has a bit of mud on their boots from the trenches. In the appendix he provides a "Primer" aimed at the novice. But it is SO basic (how to place an order) that the gesture seems more to mollify an anxious publisher's jacket writer than serve the book's main audience. If you just now got the "what are orders" part down, the take-homes of the book will be pretty fuzzy for awile. And the extra burdens of interpretation and active management a bit much to expect. There are other more full length primers out there. A (precious) few quite good. This book is different. And that is what makes it special. While it IS a fairly comprehensive trading overview, the FOCUS of the book is interpreting and acting on largly uncluttered price action. Few books, even on technical analysis, narrow in on such a basic start point. And Grimes does so with organized, well expressed, non-contradictory prose. In other words, a treat. Rather than remain safely high on cliche and low of detail, the book is rich with specific set-ups and engaging commentary. Grounded in evidence based, probability founded science, it emphasizes the ART of making sense of it all. Of reasoned interpretation and discretionary decisions. This is refreshing. Many of the best books out there, as cognizant as Grimes of the disastrous effect of human nature, emotion and misjudgment, stress the opposite tact. The only hope is creating an "objective" testable system that marginalizes faulty judgment and emotion. The fact of the matter is, subjective opinion's effects are STILL and always, everywhere. The day that ends - no more market. Yet each tiny choice changes each participant's outcome. Gaining a lasting TRUE edge is key. Yet, given the high degree of randomness, this is extraordinarily illusive and very hard work. Faced with this sober reality, his own approach is that of a swing trader. But in the more accurate, not popular sense. I recently put down Dave Landry's Layman's Guide. Both look at simplified price action and quite similar initial set-ups. Both advocate swing trading expectation (at least initially) and grabbing partial profit quite early. Where they DIVERGE in goals and trade management I find quite stimulating. Read! I will just say Landry's hybrid swing-trend blend SEEMS the more logical. A great compromise. The purer swing style coached by Grimes however is certainly more instinctual. More importantly it SEEMS the more realistic and prudent. Grimes makes you ask yourself how time-LIMITED a given entry set-up or bullish chart pattern is likely valid for. Dispite popular mantras, the more "miss than hit" challenge of PURE long term trend trading (enduring deep drawdowns that MUST be made up by sufficient extraordinary runs), is easier said than done. Especially in our times. Grimes' insight, no, the very market structure he helps YOU see evolving, is like having a probability gauge, however slight, as you navigate your OWN way through the wall of fog known as the right margin. Reviewers offering NOTHING but accolades can be suspected (sometimes with reason) to be the author's mom or of his/her customer fan base. So here are two knocks. Sorry son: First. He suggests short and long versions of much of the book's preferred patterns would basically be mirror images. Flip them and away you go. Really? Sometimes no doubt. But the implications and thus psychology can be dramaticaly different. Affecting the volatility and compression of the action. And therefore "how it go'na look". Especially around possible signifigant tops and bottoms. 2nd "beef": Record such a detailed personal Trading Diary that you include EVERYTHING right down to "what you had for breakfast"?? For future result analysis? I nearly choked on my cheerios, blurting: "Give me a break Adam!" Indeed elsewhere he echoes Nassim Taleb about the tendency of humans to see correlations and patterns where there are none. Such a tendency provides an endless boon for "the industry" and an ever present risk for traders. In equal measure. Yes yes his POINT is okay: As we are the main part of our trading equation: know thy state and self (warily). Truly digesting THIS WORK, a diary can expect to show not only improved performance correlation but whetted appetite for MORE such nourishing fare. As the author would agree, no book is "all you need". It never is. But for this one's refreshingly GROUNDED discussions on SEEING risk and recognizing possibley superior set-ups at that hard right edge: My first 5 stars. Sail On!

This book is remarkable in that its content is truly comprehensive. I have read a few books on market structure and price action before this book, and none of them covers so many topics within the market structure domain. This is also a very rare book that explains crucial concepts systematically, logically, and clearly. I was surprised by how much I have learned by studying it for the past two months. The book first introduces the fundamental concepts of Wyckoff's market cycle and covers many tradable characteristics of the trend, trading range, and interfaces between them. Once the reader understands the fundamental concepts, the author proposes many trading ideas and strategies throughout the entire market cycle. Moreover, the author enhances the reader with real trade examples arranged based on the market cycle. He does not just show you the successful cases but highlights the failure cases as well. This book also complements John Magee's book very well. I was puzzled by chart patterns' price target measuring rules as to why they work. Adam's book has thoroughly explained MMO. This explanation let me have the aha moment. By now, most people will think the book is pretty complete already. But the author has gone far beyond and above. The author further demonstrated the relationship among different time frames and shown in great detail how the different time frames interact with each other, and how to combine these info to increase the success rate of the trades. The book further surprises the reader by its exceptional discussion on risk management. Instead of boring readers with mathematic formulas, the author laid out a practical risk framework based on Kelly's criterion that is simple enough to follow and easily simulated. I instantly figured out how to program these Monte Carlo simulations on my PC to meet my needs. As a self-directed trader, it isn't easy to quantitatively evaluate and improve our trading performance. This book has provided a number of practical approaches to address this issue effectively. The appendix also studied the indicators in great depth. The SMA and EMA remind me of the FIR and IIR filters in digital signal processing along with the Nyquist frequency for sampling. Trading in the financial market is like walking into zombie land. People get greedy when seeing the food and are fearful when hearing the screaming of the zombies. This book amazingly presented tools and strategies to help people navigate in this land with high probability. In summary, this is a remarkable and fantastic book. Thank you, Adam, for sharing your in-depth knowledge in trading and thoughtful thinking by writing such a resourceful book.

Whether you are just starting out on your trading journey or you are looking to improve your skills, Adam’s book, The Art and Science of Technical Analysis, is an excellent choice. This book provides deep insight into how markets move and how to take advantage of those moves. In addition, practical issues such as risk management and formulating a trading plan are discussed. For me, the section on trading plans was particularly useful as it was not covered in sufficient detail in any of the other books I had read. Finally, the section on becoming a trader is a reality check - trading is more difficult than it seems and achieving consistent returns takes time, a good strategy, and serious discipline. What I especially enjoyed about this book is how cohesive and well-thought-out the material is. This might not be immediately apparent on the first read but it becomes very clear on the second read. Every detail fits into a greater framework and certain concepts come back full circle as you progress through the chapters. More than once I’ve had moments of thinking “Ah, that makes a lot of sense!”. All in all, this book has taken me from trying to find my way in a sea of indicators and various half-baked trading strategies to approaching trades in a systematic, strategic manner. I highly recommend this book!

Great.

The book's contents are fine. I have read other comments and it's true that some experts may find it too basic, but for me, being no expert, I thinks it's perfect! The problem is with the quality of the materials in general. The paper is kind of dark, but at the same time you can see what is on the other side of the page. Its binding is very bad because it's not woven in an old fashion, just glued with cheap materials, and the hardcovers are extremely light; they won't last. In conclusion, this book was not meant to last. Being said that, it is not worth the price. Of course, this is not the author's fault, you can guess then who is responsible...

One of the things I was concerned with when I went into trading was whether if trading principles can stand up to the scrutiny of statistical validity; I found comfort in this book as Grimes has conducted a lot of research with massive data behind his principles. It is easy to understand, and chock-full with tons of valuable information. What I like about the book is that Grimes is willing to confront the issue of "efficient market hypothesis" (an academic theory that you cannot beat the market) head on, with his unique insights. It's been said that finding the unique combination of a good trader and a good teacher is nearly impossible, and I have found it in this book. As one of the posters said below, this book will eventually join the tomes of trading "must reads"... I highly, highly recommend that you grab it!

An exhaustive writing on the market structure and the nature of market. It touches upon all the aspects of trading. The book covers the fundamental aspects of trading which is very useful and imperative for success.