Diary of a Professional Commodity Trader Quotes

“It is also possible that a pattern implying a reversal of trend could develop prior to the attainment of an expected target. I may elect to move my protective stop in relationship to a pattern that carries trend implications counter to my position.”
― Peter L. Brandt, Diary of a Professional Commodity Trader: Lessons from 21 Weeks of Real Trading

“A continuation pattern during the course of a major trend allows me to advance my initial protective stop in the direction of a profitable trade. A breakout of a continuation chart will be accompanied by its own Last Day Rule. I may elect to move the protective stop from the initial Last Day Rule to the new Last Day Rule created by the continuation pattern.”
― Peter L. Brandt, Diary of a Professional Commodity Trader: Lessons from 21 Weeks of Real Trading

“Reversal patterns offer the opportunity to avoid riding the initial position back to the starting gates (or what I call a popcorn or round-trip move).”
― Peter L. Brandt, Diary of a Professional Commodity Trader: Lessons from 21 Weeks of Real Trading

“Continuation patterns offer the opportunity to both pyramid an initial position and to tighten up the protective stops on the initial position.”
― Peter L. Brandt, Diary of a Professional Commodity Trader: Lessons from 21 Weeks of Real Trading

“As a general rule, the minimum move following the completion of a chart pattern should be equal to the height of the pattern itself,”
― Peter L. Brandt, Diary of a Professional Commodity Trader: Lessons from 21 Weeks of Real Trading

“I use two other methods to determine price targeting. The first involves a technique known as swing objectives. The principle of a swing objective is that markets tend to advance or decline in legs that are of approximately equal distance.”
― Peter L. Brandt, Diary of a Professional Commodity Trader: Lessons from 21 Weeks of Real Trading