{"product_id":"markets-in-profile-isbn-9780470039090","title":"Markets in Profile","description":"\u003ci\u003eMarkets in Profile\u003c\/i\u003e explores the confluence of three disparate philosophical frameworks: the Market Profile, behavioral finance, and neuroeconomics in order to present a unified theory of how markets work. The Market Profile is an ever-evolving, multidimensional graphic that gives visual form to the market's continuing auction process, revealing the myriad underlying dynamics that influence market activity. Behavioral finance posits that investors are driven more by emotional factors and the subjective interpretation of minutia than by \"rationality\" when making investment decisions. And neuroeconomics is the study of how investor psychology permeates and affects the financial markets. Mr. Dalton explicates the ways in which irrational human behavior influences the market's natural auction process, creating frequently predictable market structure, which results in opportunities for investors to ameliorate risk. The book will improve investors ability to interpret change in markets, enabling better, more confident investment decisions. \u003cp\u003ePreface xi\u003c\/p\u003e \u003cp\u003eAcknowledgments xix\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 1 The Only Constant 1\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eThe Creation of ERISA 4\u003c\/p\u003e \u003cp\u003eThe Rise and Fall of Relative Performance 4\u003c\/p\u003e \u003cp\u003eThe Fall of the Great Bull 6\u003c\/p\u003e \u003cp\u003eThe Rise of Absolute Return 7\u003c\/p\u003e \u003cp\u003eSucceeding in an Absolute Return Market Environment 8\u003c\/p\u003e \u003cp\u003ePure, Unbaised Information 10\u003c\/p\u003e \u003cp\u003ePeople Change Markets, Markets Change People 13\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 2 Information 15\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eFundamental Information 16\u003c\/p\u003e \u003cp\u003eRational or Irrational? 18\u003c\/p\u003e \u003cp\u003eMarket-Generated Information 19\u003c\/p\u003e \u003cp\u003eThe Auctions 20\u003c\/p\u003e \u003cp\u003eFair Value 21\u003c\/p\u003e \u003cp\u003eMarket Profile Fundamentals 22\u003c\/p\u003e \u003cp\u003eAuthors’ Note 22\u003c\/p\u003e \u003cp\u003eDemystifying Market Behavior 27\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 3 Timeframes 29\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eBreaking Down Market Timeframes 31\u003c\/p\u003e \u003cp\u003eScalper 32\u003c\/p\u003e \u003cp\u003eDay Trader 32\u003c\/p\u003e \u003cp\u003eShort-Term Traders 32\u003c\/p\u003e \u003cp\u003eIntermediate Traders\/Investors 33\u003c\/p\u003e \u003cp\u003eLong-Term Investors 35\u003c\/p\u003e \u003cp\u003eYour Timeframe Is your Strategy Cornerstone 39\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 4 Auctions and Indicators 41\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eThe Search for Value 42\u003c\/p\u003e \u003cp\u003eConcept Review 45\u003c\/p\u003e \u003cp\u003eKey Market-Generated Indicators 48\u003c\/p\u003e \u003cp\u003ePerfecting the Art of Visualization 56\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 5 Long-Term Auctions 59\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eAuctions in Action 60\u003c\/p\u003e \u003cp\u003eThe Compound-Auction Process 61\u003c\/p\u003e \u003cp\u003eThe EBB and Flow of Balance 62\u003c\/p\u003e \u003cp\u003eWhere Do Trends End and Brackets Begin? 64\u003c\/p\u003e \u003cp\u003eClarity in the Maelstrom 66\u003c\/p\u003e \u003cp\u003eThe Big Picture 68\u003c\/p\u003e \u003cp\u003eAsymmetric Opportunities and Risk 72\u003c\/p\u003e \u003cp\u003eLong-Term Strategy Development 74\u003c\/p\u003e \u003cp\u003eAssembling the Big Picture: Context within Context 75\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 6 Intermediate-Term Auctions 77\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eConvergence and the Bracketing Process 77\u003c\/p\u003e \u003cp\u003eDefining the Intermediate Term 79\u003c\/p\u003e \u003cp\u003eThe Transition from Bracket to Trends 80\u003c\/p\u003e \u003cp\u003eThe Transition from Trend to Bracket 82\u003c\/p\u003e \u003cp\u003eThe Convergence of Intellect and Emotion 85\u003c\/p\u003e \u003cp\u003eAccelerate the Learning Process 86\u003c\/p\u003e \u003cp\u003ePrelude to a Sea Change 87\u003c\/p\u003e \u003cp\u003eHear the Bells A-Ringing 94\u003c\/p\u003e \u003cp\u003eCountertrend Auctions 94\u003c\/p\u003e \u003cp\u003eThe Quest to Do Better than ‘‘Normal’’ 96\u003c\/p\u003e \u003cp\u003eOh, the Difference a Few Points Makes 97\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 7 Short-Term Trading 99\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eAnalyzing Short-Term Markets 101\u003c\/p\u003e \u003cp\u003eCommon Mind Traps 104\u003c\/p\u003e \u003cp\u003eWhen and Where to Look for Short-Term Trades 105\u003c\/p\u003e \u003cp\u003eOpportunities Around Intermediate-Term Brackets 106\u003c\/p\u003e \u003cp\u003eTechnical Indicators 106\u003c\/p\u003e \u003cp\u003eYour Own Worst Enemy: Your Brain 110\u003c\/p\u003e \u003cp\u003eSeeking the ‘‘Exceptionally Tasty Patterns’’ 112\u003c\/p\u003e \u003cp\u003eAll Prices and Opportunities Are Not Equal 116\u003c\/p\u003e \u003cp\u003eOngoing Forensic Investigation 121\u003c\/p\u003e \u003cp\u003eLooking for the All-Important Reference Points 124\u003c\/p\u003e \u003cp\u003eNever Be a Laggard 129\u003c\/p\u003e \u003cp\u003eA Golden Opportunity 130\u003c\/p\u003e \u003cp\u003eFade the Extremes, Go with Breakouts 132\u003c\/p\u003e \u003cp\u003e‘‘The Expert Reasons Contextually’’ 137\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 8 Day Trading Is for Everyone 141\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eWhat’s a Day Trader to Do? 142\u003c\/p\u003e \u003cp\u003eWhat You Don’t Do May Be More Important than What You Do 145\u003c\/p\u003e \u003cp\u003eThe Real World in Action 146\u003c\/p\u003e \u003cp\u003eTop Down 152\u003c\/p\u003e \u003cp\u003eLack of Conviction 152\u003c\/p\u003e \u003cp\u003eFlight to Safety 153\u003c\/p\u003e \u003cp\u003eInventory Imbalances 154\u003c\/p\u003e \u003cp\u003eCorrection of Inventory Imbalances 155\u003c\/p\u003e \u003cp\u003eTrend Traders’ Trap 157\u003c\/p\u003e \u003cp\u003eMarket Condition 158\u003c\/p\u003e \u003cp\u003eYesterday’s Trade 162\u003c\/p\u003e \u003cp\u003eExample 1 162\u003c\/p\u003e \u003cp\u003eExample 2 165\u003c\/p\u003e \u003cp\u003eExample 3 167\u003c\/p\u003e \u003cp\u003eTrader Checklist 170\u003c\/p\u003e \u003cp\u003eThe Market Is Open 171\u003c\/p\u003e \u003cp\u003eOpen-Drive 171\u003c\/p\u003e \u003cp\u003eOpen-Test-Drive 175\u003c\/p\u003e \u003cp\u003eOpen-Rejection-Reverse 178\u003c\/p\u003e \u003cp\u003eOpen-Auction 181\u003c\/p\u003e \u003cp\u003eDay Trader’s Checklist 181\u003c\/p\u003e \u003cp\u003eExample 1 183\u003c\/p\u003e \u003cp\u003eExample 2 185\u003c\/p\u003e \u003cp\u003eExample 3 188\u003c\/p\u003e \u003cp\u003ePractice, Practice, Practice 190\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 9 Profiting from Market-Generated Information 193\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eTimeframe Diversification 194\u003c\/p\u003e \u003cp\u003eThe New Paradigm 196\u003c\/p\u003e \u003cp\u003eAppendix A: Market Update 199\u003c\/p\u003e \u003cp\u003eAbout the Authors 201\u003c\/p\u003e \u003cp\u003eIndex 203\u003c\/p\u003e  \u003cb\u003eJAMES F. DALTON\u003c\/b\u003e has been a pioneer in the popularization of the Market Profile, a unique method of identifying trading\/investment opportunities. Most recently, Mr. Dalton was director of research for managed accounts at UBS Financial Services. He began his career in the investment industry as a broker with Merrill Lynch and Shearson Lehman.  \u003cp\u003e\u003cb\u003eROBERT BEVAN DALTON\u003c\/b\u003e is a freelance writer and creative director for a variety of agencies, organizations, and nonprofits in the great northwest.\u003c\/p\u003e \u003cp\u003e\u003cb\u003eERIC T. JONES\u003c\/b\u003e has observed markets and investors throughout his twenty-three years of developing investment products and leading investment manager research teams.\u003c\/p\u003e  Fifteen years since publishing Mind over Markets—their seminal work on markets and investor behavior—Dalton, Jones, and Dalton have greatly expanded their scope, delving deeply into the ways in which the auction process reveals the actions of all investor time frames. They believe that by understanding timeframe behavior through developing market structure, it is possible to identify asymmetric opportunities that can ameliorate risk and help ensure financial dominance.\u003cbr\u003e \u003cbr\u003e   \u003cp\u003eThis book is a bold call to action for all investors—from day traders through the longest-term individual investors, to traditional asset managers and hedge funds that control trillions of dollars. It challenges serious traders, investors, and researchers to reach beyond price-based market analysis and traditional fundamental research for a more contextual approach . . . an approach that translates the principles of behavioral finance into actionable reality by examining the relationship between price, time, and volume.\u003c\/p\u003e \u003cp\u003eThe authors take a profoundly different approach toward the traditional separation between day, short-, intermediate-, and long-term investors, pointing out that even the longest-term professional investor is a day trader on the day they enter, exit, trim, or add to a position. Lead author Jim Dalton and coauthor Eric Jones—having been heavily involved in selecting hedge funds and traditional managers for a leading Wall Street financial services firm—can attest to the importance of each basis point of performance in a world where one quarter's results can trigger financial triumph or a quick exodus.\u003c\/p\u003e \u003cp\u003eIn May of 2006, two months before the book was to be delivered to the publisher, the U.S. stock market broke eight percent in a matter of days—sending investors and the media into a tailspin. The authors saw this as an opportunity to demonstrate their theories in real-time, as opposed to cherry-picking historical events that supported their claims. The event unfolds in Chapter 6 and the authors offer sound advice and strategies on how to navigate market activity yet to unfold. The results are summarized in the Appendix, which was written after the book was submitted to the publisher. You be the judge.\u003c\/p\u003e \u003cp\u003eFilled with in-depth insight and expert advice, Markets in Profile teaches you the market's basic auction process, redefines how to view and conduct research, separates the markets into different time frames, illustrates the importance of inventory imbalances, and, in sum, demystifies market behavior by showing you how to organize the market's auction process in a scientific, systematic way.\u003c\/p\u003e  \u003cb\u003ePraise for MARKETS in PROFILE\u003c\/b\u003e  \u003cp\u003e\"Good books teach, but the best books enlighten. \u003ci\u003eMarkets in Profile\u003c\/i\u003e is much more than a lucid explanation of the Market Profile and its application; it is an enlightening perspective on auction markets and the principles underlying all trading, regardless of time frame. Clearly written with many practical examples, \u003ci\u003eMarkets in Profile\u003c\/i\u003e moves seamlessly from trading how-to's to trading psychology and back again, emphasizing the trader's dual challenge of understanding markets and understanding self. In so doing, authors Dalton, Dalton, and Jones have produced a worthy successor to their classic Mind over Markets.\"\u003cbr\u003e —Brett N. Steenbarger, PhD, author of \u003ci\u003eThe Psychology of Trading\u003c\/i\u003e and \u003ci\u003eEnhancing Trader Performance\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e\"\u003ci\u003eMarkets in Profile\u003c\/i\u003e is a brilliant, insightful work that should be required reading for any trader. Dalton, Dalton, and Jones will transform your trading technique through their unique knowledge of the markets and understanding of trading psychology.\"\u003cbr\u003e —Martin Sheridan, commodities trader, NYMEX member\u003c\/p\u003e \u003cp\u003e\"This book provides a fresh approach to behavioral finance—ideas that I have used to great benefit.\"\u003cbr\u003e —Gregory A. Ehret, Senior Managing Director, State Street Global Advisors\u003c\/p\u003e \u003cp\u003e\"Few people understand the dynamics of the auction process as well as Jim Dalton. \u003ci\u003eMarket Profile\u003c\/i\u003e offers a graphic representation of this process and Markets in Profile illustrates Jim's mastery of it.\"\u003cbr\u003e —Steve Dickey, Vice President of Market Data Products, Chicago Board of Trade\u003c\/p\u003e \u003cp\u003e\"Market data speak volumes and Jim Dalton has deciphered the code. In Markets in Profile, Jim shares his techniques of profitable trading in a most readable and entertaining format. Serious traders, both professional and amateur, should benefit from the application of Jim's volumetric approach to reading what investors are telling us through their collective buy-sell transactions.\"\u003cbr\u003e —Walter Sall, professional investor\u003c\/p\u003e","brand":"Wiley","offers":[{"title":"Default Title","offer_id":47989576990949,"sku":"NP9780470039090","price":75.0,"currency_code":"USD","in_stock":false}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/1842\/7735\/files\/9780470039090.jpg?v=1761784666","url":"https:\/\/k12savings.com\/es\/products\/markets-in-profile-isbn-9780470039090","provider":"K12savings","version":"1.0","type":"link"}