Advancing Point and Figure in the 21st Century
Point and Figure has been around for over 130 years and the method is just as essential for chart analysis today as it always has been. While the basic principles of the technique have remained unchanged, those working with Point and Figure must still push the boundaries of how it is used, looking to make it even more insightful and powerful. This is exactly what Jeremy du Plessis has achieved with 21st Century Point and Figure.
Previously, it was thought that the lack of time on Point and Figure charts meant that time-based tools and indicators could not be used, and lack of volume meant that the importance of individual columns could not be determined. Jeremy du Plessis shows definitively that neither is the case and that with the use of lateral thinking there are also a host of other new techniques that can be added to Point and Figure charts and analysis.
In this advanced practical guide, du Plessis explains:
- How to use moving averages, Bollinger bands, Donchian channels and parabolic stop and reverse with Point and Figure charts.
- How time-based indicators such as overbought/oversold, RSI, directional movement and MACD can be used with Point and Figure charts.
- How column volume can be used to assess a column's strength and how volume at box level can be used to assess support and resistance areas.
- How traditional accumulation distribution lines, such as on-balance volume and volume-price trend, can be used to enhance the reading of the chart.
- How the analysis of relative strength and spreads can be enhanced using these new techniques.
- Two new Point and Figure based market breadth indicators.
Finally, he introduces a new Point and Figure based oscillator that can also be used on time-based charts.
All topics are illustrated with numerous high-quality, full colour charts and observations from years of trading experience.
The techniques described here open up a whole world of new and advanced analysis tools. You will see that there is more to Point and Figure than you ever imagined, and that it is more flexible than has ever been realised before. If you employ Point and Figure analysis, ensure you don't miss out on these powerful new techniques – be sure to bring your analysis into the 21st century. Jeremy trained as an automotive engineer, then an economist, but gave them both up to become a Technical Analyst. In 1983 he founded Indexia Research and pioneered the development of PC based technical analysis software with the Indexia range of technical analysis systems. During the 1980s he developed a number of technical tools and indicators under the banner of Indexia, which are still used in software to this day. He is an expert on Point and Figure charts, and the Indexia software was the first PC-based system to draw them correctly and clearly in the early 1980s. He lectures the Point and Figure module for the Society of Technical Analysts and sets the Point and Figure syllabus for the International Federation of Technical Analysts. He has taught Technical Analysis, and in particular Point and Figure, to thousands of professional traders and investors over the last 20 years. In 2001, after running Indexia Research for nearly 20 years, he agreed to merge the company with Updata plc, where he is now Head of Technical Analysis and the designer of the Updata Technical Analyst software. He is a Fellow of the Society of Technical Analysts (FSTA) in the UK, and a member of the American Market Technicians Association (MTA). He is a holder of the Chartered Market Technician (CMT) designation awarded by the MTA.
