For those interested in day trading and short-term trading in futures, this classic 1950 work is an indispensable reference. The 3-Day Method (a.k.a. The Book Method) described therein, maintains that markets move in a three-day cycle that can be tracked by measuring rallies and declines. Linda Bradford Raschke highly recommends this book and the principles it teaches. Table of Contents: Chapter 1: How the Market Trend is Made Chapter 2: How to Make Up a Trading Book Chapter 3: Uses for the Columns and Marks Chapter 4: The Symbols as Trend Indicators Chapter 5: A Buying Day Chapter 6: A Buying Day Low Violation Chapter 7: A Selling Day Chapter 8: A Short Sale Day Chapter 9: A Short Sale at High of Buying Day Made First Chapter 10: Failures to Penetrate Chapter 11: The Trend Line and Trading Areas-Market Trends Chapter 12: Limit Day Moves Chapter 13: The Three Day Swing Method Chapter 14: The Investor and Swing Trader Chapter 15: Pertinent Points Many illustrated plates and cuts
George Taylor's 'Book Method': Taylor Trading Technique Three Day Cycle
George Taylor developed the Taylor Trading Technique 'Book Method' in the early 1950's identifying the three day cycle. Simply stated, Institutional Investors, or 'Smart Money', push markets lower to create a buying opportunity and then push markets higher to create a selling opportunity within a Taylor Trading Technique three day cycle.
Mr. Taylor describes his 'Book Method' as taking short-term trading opportunities within a Taylor Trading Technique three day cycle. He called the days of the cycle as follows:
Buy Day, where the market is driven to a Low for a Buy opportunity;
Sell Day, where the market is driven higher for an opportunity to Sell your position; and
Sell-Short Day, where the market is driven lower after establishing three day cycle high for a Sell-Short opportunity.