Forecasting Financial Markets

In 'Forecasting Financial Markets', Tony Plummer provides a compelling insight into the psychology of trading behaviour and shows how the herd instinct in decision making can have disastrous results. The ability to make money in markets depends critically on an individual's ability to make decisions independently of the crowd. To attain such independence the investor or trader must acquire the ability to: understand the forces at work in logical terms; recognize - and neutralize - their own emotional responses to market fluctuations; design an investment process or trading system that generates objective 'buy' and 'sell' signals. The book explores these three dimensions to successful trading in detail. This fourth edition of 'Forecasting Financial Markets' has been completely updated to take into account the author's latest research into cycles and the implications cyclical patterns and rhythms have on economic and financial market behaviour. New chapters included deal with: the phenomenon of cycles; the threefold nature of cycles; economic cycles; recurrence in economic and financial activity; forecasting with cycles; finding cycles. 'This book will entertain and intrigue keen investors...' Financial Times 'Tony Plummer... has written a book that is almost breathless in its enthusiasm for his chosen craft.' The Independent '... a brilliant, original, insightful work... deserves to be read by all serious technical analysts.' Futures Magazine '... as clear-cut and easy-to-read an introduction as one could want.' The Independent 'Should interest not only practitioners and sceptical economists, but also countless thoughtful managers who are rightly impatient with expert "forecasts", which are, alas, not always worth the paper they are printed on.' Sir Adam Ridley, Director General, London Investment Banking AssociationTony Plummer provides an insight into the psychology of trading behaviour and shows how the herd instinct in decision making can have disastrous results. The ability to make money in markets depends critically on an individual's ability to make decisions independently of the crowd. To attain such independence the investor or trader must acquire the ability to: understand the forces at work in logical terms; recognize - and neutralize - emotional responses to market fluctuations; and design an investment process or trading system that generates objective "buy" and "sell" signals. This fourth edition has been completely updated to take into account the author's research into cycles and the implications cyclical patterns and rhythms have on economic and financial market behaviour. New chapters included deal with: the phenomenon and three-fold nature of cycles; economic cycles; recurrence in economic and financial activity; forecasting with cycles; and finding cycles.