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Show Notes
Technical Analysis and Stock Market Profits (Richard Schabacker)
- Amazon USA Store: https://www.amazon.com/dp/0857199161?tag=9natree-20
- Amazon Worldwide Store: https://global.buys.trade/Technical-Analysis-and-Stock-Market-Profits-Richard-Schabacker.html
- Apple Books: https://books.apple.com/us/audiobook/the-one-and-only-ivan/id1441492510?itsct=books_box_link&itscg=30200&ls=1&at=1001l3bAw&ct=9natree
- eBay: https://www.ebay.com/sch/i.html?_nkw=Technical+Analysis+and+Stock+Market+Profits+Richard+Schabacker+&mkcid=1&mkrid=711-53200-19255-0&siteid=0&campid=5339060787&customid=9natree&toolid=10001&mkevt=1
- Read more: https://mybook.top/read/0857199161/
#classicaltechnicalanalysis #chartpatterns #trendanalysis #volumeconfirmation #supportandresistance #TechnicalAnalysisandStockMarketProfits
These are takeaways from this book.
Firstly, Market trends as the primary trading compass, A central theme of Schabacker work is that trend is the trader primary guide. The book treats markets as moving in recognizable directional phases and argues that most profitable decisions come from aligning with the dominant movement rather than fighting it. Schabacker distinguishes between major trends and the secondary swings that occur within them, stressing that confusion often arises when an observer mixes time horizons. The discussion encourages readers to define the trend they are trading, then interpret each rally and reaction in that context. This leads naturally to practical questions: what confirms that a trend exists, when is it weakening, and what evidence suggests a change. Price action is treated as an organized record of buying and selling pressure, and the trader task is to read that record with discipline. The book also highlights the psychological temptation to predict tops and bottoms, warning that profitable practice is usually simpler: ride the established movement until the evidence shows it is no longer intact. This trend first orientation underpins later sections on patterns and signals, because patterns only matter insofar as they continue or reverse the prevailing direction. The result is a structured way to reduce noise, avoid impulsive trades, and think in terms of probabilities rather than certainties.
Secondly, Chart patterns and what they imply about supply and demand, Schabacker is closely associated with the classical pattern tradition, and the book examines how recurring formations can reflect the balance between supply and demand. Rather than treating patterns as magical shapes, the analysis frames them as visible outcomes of crowd behavior. Consolidations, breakouts, and failed moves are interpreted as evidence of who is gaining control. The reader is guided to focus on the logic of the pattern: where resistance forms, where support holds, and what changes when price escapes those boundaries. Emphasis is placed on confirmation, because a pattern is not considered meaningful until the market acts in a way that supports the interpretation. The book also stresses the importance of context: the same pattern can have different implications depending on whether it appears after a long advance, during a decline, or within a broad trading range. Another key point is selectivity. Schabacker suggests that not every chart wiggle deserves a name, and that the analyst should prefer clear, well developed structures that multiple observers would recognize. This section helps readers build a vocabulary for describing market structure and, more importantly, a reasoning process for converting structure into a trade plan that includes trigger, invalidation, and expectation.
Thirdly, The role of volume and activity in validating price moves, The book treats volume and general trading activity as essential context for understanding whether a price move has conviction. Schabacker approach encourages readers to look for harmony between price and activity: strong advances that occur with expanding participation are viewed differently from advances that drift upward on thin trading. Likewise, declines accompanied by heavy activity can signal urgency and distribution, while light pullbacks can be consistent with a healthy uptrend. The analysis also addresses the common problem of false breakouts, where price briefly escapes a range but lacks the follow through needed to confirm a new trend leg. In that situation, evidence from activity can help the analyst judge whether the move is being supported by broad interest or is merely a temporary push. Importantly, the book does not present volume as an infallible indicator. Instead, it is a supporting tool that must be weighed with structure, trend, and the overall market environment. This balanced perspective can improve decision making because it discourages single factor trading. For modern readers, the underlying principle transfers well even when the data source changes, such as using volume, turnover, or other liquidity measures. The main benefit is learning to ask whether the market is truly committed to a direction, not merely moving there momentarily.
Fourthly, Support, resistance, and the logic of price levels, Schabacker devotes attention to how markets remember certain price areas and how those areas can shape future movement. Support and resistance are treated as practical expressions of prior conflict between buyers and sellers. When price approaches a level where it previously turned, participants who experienced that earlier battle may act again, creating repeatable behavior. The book encourages readers to map these zones, not as precise single points but as areas where the balance of pressure has historically shifted. This framework helps explain why breakouts can trigger acceleration: once price clears an area where sellers previously dominated, the path of least resistance may open, at least temporarily. It also explains why pullbacks to former resistance can become tests of new support, providing structured opportunities for entries and risk control. The discussion naturally connects to stop placement and trade invalidation. If a trader enters based on the idea that support will hold, then a decisive violation of that zone is information that the idea may be wrong. By treating levels as evidence rather than superstition, the book promotes cleaner planning: identify the level, define the scenario that confirms it, and specify the condition that negates it. This approach remains useful across instruments because it is rooted in human behavior, positioning, and the way participants respond to prior reference points.
Lastly, Risk management, discipline, and the limits of forecasting, While the title emphasizes profits, the book repeatedly returns to the reality that no analytical method eliminates uncertainty. Schabacker perspective supports a disciplined operating style in which the trader acts on signals but stays humble about prediction. The implication is that the process matters as much as the pattern: choose favorable situations, define risk, and avoid emotional decision making. Readers are encouraged to think in terms of odds and to accept that losses are part of the business, not proof that the method is useless. This mindset connects to practical habits like waiting for confirmation, resisting the urge to overtrade, and maintaining consistency in how trades are evaluated. Another important idea is that analysis should serve action, not endless interpretation. A chart can always be reread to tell a different story, so the analyst must commit to clear rules for what constitutes evidence and when evidence has changed. In modern language, this resembles having a repeatable system and a predefined exit plan. The book also implicitly warns against overconfidence during winning streaks and discouragement during drawdowns. By centering discipline and risk control, Schabacker strengthens the reader ability to apply technical tools in a way that can survive real market conditions. The enduring value is a professional attitude toward uncertainty, where technical analysis is used to improve decisions rather than to promise certainty.
- Amazon USA Store: https://www.amazon.com/dp/0857199161?tag=9natree-20
- Amazon Worldwide Store: https://global.buys.trade/Technical-Analysis-and-Stock-Market-Profits-Richard-Schabacker.html
- Apple Books: https://books.apple.com/us/audiobook/the-one-and-only-ivan/id1441492510?itsct=books_box_link&itscg=30200&ls=1&at=1001l3bAw&ct=9natree
- eBay: https://www.ebay.com/sch/i.html?_nkw=Technical+Analysis+and+Stock+Market+Profits+Richard+Schabacker+&mkcid=1&mkrid=711-53200-19255-0&siteid=0&campid=5339060787&customid=9natree&toolid=10001&mkevt=1
- Read more: https://mybook.top/read/0857199161/
#classicaltechnicalanalysis #chartpatterns #trendanalysis #volumeconfirmation #supportandresistance #TechnicalAnalysisandStockMarketProfits
These are takeaways from this book.
Firstly, Market trends as the primary trading compass, A central theme of Schabacker work is that trend is the trader primary guide. The book treats markets as moving in recognizable directional phases and argues that most profitable decisions come from aligning with the dominant movement rather than fighting it. Schabacker distinguishes between major trends and the secondary swings that occur within them, stressing that confusion often arises when an observer mixes time horizons. The discussion encourages readers to define the trend they are trading, then interpret each rally and reaction in that context. This leads naturally to practical questions: what confirms that a trend exists, when is it weakening, and what evidence suggests a change. Price action is treated as an organized record of buying and selling pressure, and the trader task is to read that record with discipline. The book also highlights the psychological temptation to predict tops and bottoms, warning that profitable practice is usually simpler: ride the established movement until the evidence shows it is no longer intact. This trend first orientation underpins later sections on patterns and signals, because patterns only matter insofar as they continue or reverse the prevailing direction. The result is a structured way to reduce noise, avoid impulsive trades, and think in terms of probabilities rather than certainties.
Secondly, Chart patterns and what they imply about supply and demand, Schabacker is closely associated with the classical pattern tradition, and the book examines how recurring formations can reflect the balance between supply and demand. Rather than treating patterns as magical shapes, the analysis frames them as visible outcomes of crowd behavior. Consolidations, breakouts, and failed moves are interpreted as evidence of who is gaining control. The reader is guided to focus on the logic of the pattern: where resistance forms, where support holds, and what changes when price escapes those boundaries. Emphasis is placed on confirmation, because a pattern is not considered meaningful until the market acts in a way that supports the interpretation. The book also stresses the importance of context: the same pattern can have different implications depending on whether it appears after a long advance, during a decline, or within a broad trading range. Another key point is selectivity. Schabacker suggests that not every chart wiggle deserves a name, and that the analyst should prefer clear, well developed structures that multiple observers would recognize. This section helps readers build a vocabulary for describing market structure and, more importantly, a reasoning process for converting structure into a trade plan that includes trigger, invalidation, and expectation.
Thirdly, The role of volume and activity in validating price moves, The book treats volume and general trading activity as essential context for understanding whether a price move has conviction. Schabacker approach encourages readers to look for harmony between price and activity: strong advances that occur with expanding participation are viewed differently from advances that drift upward on thin trading. Likewise, declines accompanied by heavy activity can signal urgency and distribution, while light pullbacks can be consistent with a healthy uptrend. The analysis also addresses the common problem of false breakouts, where price briefly escapes a range but lacks the follow through needed to confirm a new trend leg. In that situation, evidence from activity can help the analyst judge whether the move is being supported by broad interest or is merely a temporary push. Importantly, the book does not present volume as an infallible indicator. Instead, it is a supporting tool that must be weighed with structure, trend, and the overall market environment. This balanced perspective can improve decision making because it discourages single factor trading. For modern readers, the underlying principle transfers well even when the data source changes, such as using volume, turnover, or other liquidity measures. The main benefit is learning to ask whether the market is truly committed to a direction, not merely moving there momentarily.
Fourthly, Support, resistance, and the logic of price levels, Schabacker devotes attention to how markets remember certain price areas and how those areas can shape future movement. Support and resistance are treated as practical expressions of prior conflict between buyers and sellers. When price approaches a level where it previously turned, participants who experienced that earlier battle may act again, creating repeatable behavior. The book encourages readers to map these zones, not as precise single points but as areas where the balance of pressure has historically shifted. This framework helps explain why breakouts can trigger acceleration: once price clears an area where sellers previously dominated, the path of least resistance may open, at least temporarily. It also explains why pullbacks to former resistance can become tests of new support, providing structured opportunities for entries and risk control. The discussion naturally connects to stop placement and trade invalidation. If a trader enters based on the idea that support will hold, then a decisive violation of that zone is information that the idea may be wrong. By treating levels as evidence rather than superstition, the book promotes cleaner planning: identify the level, define the scenario that confirms it, and specify the condition that negates it. This approach remains useful across instruments because it is rooted in human behavior, positioning, and the way participants respond to prior reference points.
Lastly, Risk management, discipline, and the limits of forecasting, While the title emphasizes profits, the book repeatedly returns to the reality that no analytical method eliminates uncertainty. Schabacker perspective supports a disciplined operating style in which the trader acts on signals but stays humble about prediction. The implication is that the process matters as much as the pattern: choose favorable situations, define risk, and avoid emotional decision making. Readers are encouraged to think in terms of odds and to accept that losses are part of the business, not proof that the method is useless. This mindset connects to practical habits like waiting for confirmation, resisting the urge to overtrade, and maintaining consistency in how trades are evaluated. Another important idea is that analysis should serve action, not endless interpretation. A chart can always be reread to tell a different story, so the analyst must commit to clear rules for what constitutes evidence and when evidence has changed. In modern language, this resembles having a repeatable system and a predefined exit plan. The book also implicitly warns against overconfidence during winning streaks and discouragement during drawdowns. By centering discipline and risk control, Schabacker strengthens the reader ability to apply technical tools in a way that can survive real market conditions. The enduring value is a professional attitude toward uncertainty, where technical analysis is used to improve decisions rather than to promise certainty.
