Trend Following (Updated Edition): Learn to Make Millions in Up or Down Markets

Product Author Bios

Michael Covel is a highly respected author, director, and entrepreneur who founded the internationally known website TurtleTrader.com in 1996. Covel’s first book was the best selling Trend Following: How Great Traders Make Millions in Up or Down Markets (FT Press April 2004 and November 2005 Expanded Edition). The book profiles great trend following traders who have won millions, if not billions, in the market. The original edition, expanded edition, and paperback edition have sold 100,000 plus copies. It is also available in German, Japanese, Chinese (complex and simplified), Korean, French, Arabic, Turkish, and Russian.

Covel’s second book The Complete TurtleTrader: The Legend, the Lessons, the Results (Collins, October 2007) is the definitive inside look at the legendary trader Richard Dennis and his student traders, ‘The Turtles.’ The book has received wide acclaim and is headed toward bestseller status. It is also available in German, Korean, and Chinese (complex and simplified).

Building off his book success, Covel wrote, directed, and produced a theatrical release documentary titled Broke: The New American Dream, built around the subject of behavioral finance, specifically investigating the 2007—2008 market crisis and crash. Face-to-face interviews with Nobel Prize winners Dr. Harry Markowitz and Dr. Vernon Smith, famed mutual fund investor Bill Miller of Legg Mason, David Harding of hedge fund Winton Capital, plus dozens of other Wall Street pros, along with average investors were conducted over 2007 and 2008. The film was shot in New York, DC, Miami, Dallas, San Diego, Baltimore, Las Vegas, Richmond, London, Tokyo, Singapore, Macau, and on a sheep farm outside of Harrisonburg, Virginia.

Not afraid of a crowd or controversy, Covel is known for engaging and provocative speeches presented to audiences from Tokyo to Paris to Macau (China) to Vienna (Austria) to Hong Kong to Dallas (US). His writings have appeared in Trader Monthly Magazine, Stocks, Futures and Options Magazine, Futures Magazine, Technical Analysis of Stocks and Commodities Magazine, TradingMarkets.com, Yahoo Finance, Market Technicians Association Newsletter, and Futures Japan Magazine. Covel has been quoted and interviewed by likes of Bloomberg Radio, Technical Analysis Magazine, Barrons, and dozens of radio

programs.

Covel can be reached directly at www.michaelcovel.com.

Discover the investment strategy that works in any market. The one strategy that works in up and down markets, good times and bad.

• ‘Trend Following’ has become the classic trading book — accepted by the great pro traders as their standard..  Learn how Trend Followers delivered fantastic returns while everyone else was losing their shirts.

• Simple charts and instructions help you use Trend Following no matter where the market goes next.

• Includes new profiles of top Trend Followers who’ve kept right on profiting through the toughest markets.

   

Table of Contents

Foreword by Larry Hite     xiii

Preface     xvii

Part I

1          Trend Following     3

2          Great Trend Followers     27

Part II

3          Performance Data     97

4          Big Events, Crashes, and Panics     123

5          Baseball: Thinking Outside the Batter's Box     181

Part III

6          Human Behavior     193

7          Decision Making     211

8          Science of Trading     221

9          Holy Grails     231

Part IV

10        Trading Systems     247

11        The Game     277

Afterword     285

Foreword to the First Edition by Charles Faulkner     299

Appendices

Introduction to Appendices     305

A          Trend Following for Stocks     307

B          Performance Guide     347

C         Short-Term Trading     375

D         Personality Traits of Successful Traders     377

E          Trend Following Models     381

F          Trading System Example from Mechanica     385

G         Critical Questions for Trading Systems     395

Resources     397

Endnotes     399

Bibliography     423

Index     431