< how i made 2 million in the stock market >, by nicolas davas

interesting little book wrote by someone has no training within financial background. not the methods in the book attacted me, but the disciplines applied in his fantasitic works. here is what i got from it.

1, always has stop order readied. if you dont have one, dont buy.

2, stay away from chaostic sources, culture your own sense to the market. the herd behavioral model is a total disaster of trader. when everyone trys to stay close to wall st., you want to stay away from it.

3, box theory by nicolas mostly addresses the stock movement within a limited range. when price move to the upper limit of a box, its under selling presure, bounce back is expected, and stop lost should set to slightly below the lower box.

only if the price is pushed over the box with volume support, then we can confirm that the stock is moving to a new, higher box movements. stop loss should be reset as well.

4, for extension discussion, price and volume movement is the principal of all principals.

5, trust TA, mean while, be flexible of trend with no bias.

6, dont do stupid thing when you are sure that you are in the right trend, tough, but hold on to it.