This is a detailed guide to successfully trading modern markets. "Trade to Win" provides readers with a variety of strategies to profit in today's stock, futures, and options markets. Written by veteran trader Tom Busby, this book describes repetitive market behaviors that can be used to trade profitably. The strategies outlined here include day trading the DAX, the German stock index; taking advantage of time-of-day patterns in the S&P 500; making quick profits based on earnings announcements; creating a short-term stock portfolio utilizing "Wiley's Stock Trader's Almanac" (978-0-470-22902-6); and profiting when rolling over an option position.
Table of Contents
Foreword.Preface.Acknowledgments.PART ONE A Foundation for Success.CHAPTER 1 The Trader's Edge.The Road to Vegas.Becoming a Trader.The Aftermath of Black Monday.Revolutions in Technology and Communication.The Dark Ages: Circa 1986.New Games, New Toys.Bet on Yourself.The Challenge for Traders.Review.CHAPTER 2 Time Is Money.Time and Its Importance.Maggie and Me.Trading Patterns Are Timely.Time to Stay Out.Special Times to Watch.Know When to Cash Out.Review.CHAPTER 3 Opening the Vault with Key Numbers.Stocks and Key Numbers.Key Numbers in Metals, Fuels, and Commodities.Gold Numbers.Key Numbers in the Equity Index Futures.Connecting the Dots."T" Square.Review.CHAPTER 4 Commonsense Market Indicators.Tracking the Seven Sisters.The NYSE and Nasdaq Issues.The NYSE Tick.The TRIN.The V-Factor and the TTICK.Review.CHAPTER 5 The Art of Trading.Time.Key Numbers.Market Indicators.The Fourth Element.Review.PART TWO Strategies to Win.CHAPTER 6 The Path of Least Resistance.The Face Peel.Off to the Races.The Fast Dance.The Squeaky Wheel.Review.CHAPTER 7 News Pays.Never Predict the Market.Strategies for Early News.A 9:00 News Strategy.Earnings Season and How to Use It.Caution.Breaking News.Review.CHAPTER 8 Making Money with Bernanke.The Corvette Trade.The Model "T".Review.CHAPTER 9 Dancing with the Dax.The Early Riser.The Basketball Trade.Review.CHAPTER 10 Money Never Sleeps.The Follow-Through.Trading When the Sun Rises.Trading After-Hours News.Holiday Trading.After Hours-A New Frontier.Characteristics of Night Markets.Review.CHAPTER 11 Cashing in on Bonds.Review.CHAPTER 12 Options Strategies to Make Money.Options Logic and Risk.Options Strategies.Probing.Review.CHAPTER 13 Reaping Profits on the Farm.The Morning Face Peel.Review.CHAPTER 14 Going for the Gold.Review.CHAPTER 15 Stocks and ETFs.The Wave of the Future-ETFs.Review.PART THREE The Wild Cards.CHAPTER 16 Beyond the Numbers.Winners Trade the Numbers.Be Disciplined.Kiss Your Ego Goodbye.Be Persistent.Patience Pays.Believe in Yourself.Review.CHAPTER 17 Risk Management.Three Strikes and You Are Out.Limit Risk.Use the Two-Minute Rule.Use Stop/Loss Orders.Have an Exit Strategy.Manage Every Trade.Phasing Into and Out of Positions.Diversify.Review.CHAPTER 18 Psychology and Discipline: The Winner's Edge.The Psychology of Winning.Gaining Balance.Review.CHAPTER 19 The Last Word.Resources.About the Authors.Index.
Author Biography
THOMAS L. BUSBY has been a professional trader and broker since the early '80s, working with Merrill Lynch and Smith Barney. Since its founding in 1996, the Diversified Trading Institute (DTI) has grown into one of the most successful trading schools in the world. After enormous success early in his career, Busby lost almost everything in the 1987 stock market crash. Following that experience, he developed a low-risk, short-term trading method that consistently generates profits and is the basis of the DTI curriculum. Busby is also the author (with Patsy Busby Dow) of The Markets Never Sleep and Winning the Day Trading Game, both from Wiley. PATSY BUSBY DOW is an attorney, trader, and former educator. She is currently employed by the Diversified Trading Institute as a staff writer.
