Channels and Cycles: A Tribute to J. M. Hurst Review

Average Reviews:

(More customer reviews)Are you looking to buy Channels and Cycles: A Tribute to J. M. Hurst? Here is the right place to find the great deals. we can offer discounts of up to 90% on Channels and Cycles: A Tribute to J. M. Hurst. Check out the link below:

>> Click Here to See Compare Prices and Get the Best Offers

Channels and Cycles: A Tribute to J. M. Hurst ReviewI am in the middle of reading both JM Hurst's original work on market cycles, as well as Brian Millard's modern treatment of cycle analysis. I've finished this one today.
This book is for the technician or trader who wishes to think for himself, and not rely on over-used, and often misapplied mathematical techniques.
Millard instructs you on how to use mathematical tools to extract cycles from stock price data, predict price and time zones, and determine the optimum time period to trade in.
Through simple logic, Millard demonstrates the optimum time period to trade in is between 50 and 100 days. If you are a diehard daytrading scapler, you probably won't like the conclusions he comes to in this book.
Through the simple use of moving averages and envelope channels, you can learn to pick out the low risk points to place directional trades. I've experimented with the techniques for a few months now, and they are very useful.
What is fascinating, is that the trading rules developed from cycles often match up very well with classical chart pattern trading rules.
The author does an excellent job of explaining the mathematical properties of moving averages, and how the use of moving averages in cycle analysis differs from their use in conventional trend following systems.
Some reservations about the techniques: 1. Cycle analysis uses arithmatic scaling for measuring the magnitued of cycles. This strikes me as invalid on time frames greater than weekly, due to the logarithmic price changes over long periods of time.
Point and figure chartists have similar problems--dealing with changes in price level. It is going to be very hard to draw valid channels on some large cap tech stock that declined from 100 to 10 during the bear market. Having said that, for shorter time periods, these methods are fine, and the techniques to measure wavelength (time targets) are still valid, even on monthly data.
2. The author makes absolutely no use of volume in the analysis. I suspect incorporating volume into the analysis of cycles would improve the results.
3. The author makes it appear that stock price data is just like any other data. With this, I disagree. There is a psychological element that is missing from this type of analysis. Cycles are not the complete answer to trading, but they are a very good start.Channels and Cycles: A Tribute to J. M. Hurst Overview

Want to learn more information about Channels and Cycles: A Tribute to J. M. Hurst?

>> Click Here to See All Customer Reviews & Ratings Now