Brainy's Share Market ToolboxBrainy's Share Market Toolbox
An arsenal of weapons to help you tackle the share market.
Monthly eBook (pdf) Articles
Trends, trend-spotting and more!

Just one of the tools in my Share Market Toolbox
February Articles #27 - February 2011

Dear Reader,   


This email is going to all my Toolbox Members, and to the people who have registered to receive occasional information about the Share Market. (Any non-member who no longer wants to receive this material can simply unsubscribe using the unsubscribe link at the bottom - or just Update Your Profile to change your interests).


This month's focus below is on the topic of:
Trends - trend-spotting, uptrends, exploiting trends and more. Last month's focus was on Stop Loss.


For the benefit of all the new Toolbox Members this month,
useful information in the last 2 month's emails is available
to Members in the email archive (Toolbox password required).


In this month's focus below we talk about Trends, because it is really a basic concept that many people don't understand very well. If a company's share price is "trending down", why would we buy the shares? This is called capital destruction. Why not wait until the downtrend has finished? Anyway, more details below...


Over the next few months, the topics of focus will include:

  • Support and Resistance - How to leverage these
  • Nicholas Darvas - his winning strategy in detail (author of the best-selling "How I Made $2,000,000 In The Stock Market").
  • Chart patterns - triangles, double tops, megaphones, double bottoms, flags, wedges, and more.
  • Candlestick patterns.
  • Money and Risk Management.

Please read on....  

This month's focus:
Trends and trend-spotting!

Up trend, down trend, no trend? 
Trend-spotting! - How and why to identify a price trend,
and how to profit from it.
Go straight to the new free Trends and Trend-spotting web page
in the Share Market Toolbox
Or you can read here first...


In the big wide world of investing and trading, there are literally thousands of different trading strategies that can be deployed. Many of these rely on the idea that "the trend is your friend". That is, if you can spot a rising trend, and join the trend, then you can ride the trend until it has finished. In many cases the investment should be profitable. But for the unprofitable situations, provided we use sound money and risk management, we should be able to keep our losses small (see last month's email on Stop Loss for more details).


[For more information on strategies, see the following, some of which are reserved for Toolbox Members: eBook Articles listed in the Detailed Topic Index, and some eBook Articles on BullCharts listed in the BullCharts KnowledgeBase.]


You might not believe it, but one of the six tenets of Dow Theory says basically that once a rising trend is in place, then it is likely to stay in place. And it is in place until it is confirmed to have ended. It is that simple. Yet so many people insist on investing in shares (or other instruments) which are down-trending. It doesn't make sense.

Brainy's 3Ways Rule in 3Times 

See some good basic information about Brainy's
"3Ways Rule" to help remind us of some key concepts.


Brush up on your knowledge of trend-spotting on the new Trends web page in the Share Market Toolbox. That web page includes some great information, including several ways to spot a trend. And it includes good examples and many links to eBook Articles.


Most of the material is restricted to Toolbox Members, but non-Members can easily gain access.


Robert, I hope you find this very useful.

eBook Articles - Key changes? 

Over the last two years I have accumulated quite a collection of eBook Articles on three subject areas - Share Trading/Investing, Technical Analysis and BullCharts software (actually 380 pages of material in 98 articles). These Articles are invaluable for both new and experienced investors and traders.


I am now writing brief monthly notes in this email to highlight specific Articles on targetted topics. I am also writing new Articles as required, and updating existing ones as well. For more information about the changes, see the December 2010 eNewsletter email in the eNews email Archive.


For more information see:

The new "front matter"
As of early January with the change in publishing approach for 2011, I significantly revised the Introduction Article and the Overview Article for each of the three subject areas. If you haven't seen the revised versions yet, then you might want to download the following updates. And recently new Toolbox Members might want to read the Overview Articles to help understand what sort of material is included within the 100 or so published Articles that are available in the Toolbox.
Latest Tables of Contents pages
Don't forget to download the three latest Table of Contents pages at any time. Links to these 2-page PDF files are included in the Quick Links section at right. With no new Articles since January, they have not needed updating lately.

The Detailed Topic Index is also available so that we can look up a list of keywords to find out which published articles contain related information. See the link in the Quick Links section at right.
Any problems?

What if you have some sort of problem with accessing the Toolbox and any of these Articles? Or maybe the Username and Password doesn't work. If there is any problem at all, simply contact me by email or phone. The best email address for this is: Occasionally emails disappear - the system thinks they are spam, or the ISP might think they are spam. If I don't reply within a day or so, please contact me by other email address or phone.
In Closing

There is nothing secret in this email, so feel free to forward it to someone if you think they might benefit from the information, or from being a Toolbox Member. The easiest way to do this is to use the "Forward Email" link at the bottom.

I am also confident that my Toolbox Members won't be sharing their username and password with non-members. It is not fair that I spend all this time preparing the materials, and then my Toolbox Members pay money to have legitimate access, only to let some people pay nothing to read and view the details.

Please feel free to email an individual Article to others as a sample; but if they want online access to all the materials, it is pretty cheap, so they should subscribe as a Toolbox Member. There is information about Toolbox Membership in the Quick Links section at right. 
Happy to receive feedback, or suggestions for new content or improvements.
Until next month,
Happy investing or trading,

Robert B. Brain
(mobile: 0438 355 910)

ps: watch out for the sharks in the ocean!

In This Issue
Key changes
Revised Intro
Tables of Contents
Any Problems?

I am always very happy to receive feedback about the Toolbox, and the articles and weapons therein.

Please feel free to contact me by email or phone.

How to contact - click here.
Quick Links

Articles Master List of all eBook (pdf) Articles

Introductory information About the Articles

Detailed Topic Index

Robert's BullCharts Knowledgebase
The latest
Table of Contents pages for:
Share Trading,
Technical Analysis

The Weekly Analysis
Public Pages

The Weekly Watch List information 
Go to the Online Shop to become a
Toolbox member. 
Join as a Toolbox Member by printing the
manual order form
complete the details and send in the mail with payment.

The Members Area Gateway (lists all Toolbox features)

The Weekly Analysis Members Pages

The Weekly Watch List (Premium Members) information

For Non-Members:

Robert Brain (Brainy) | 23 Nathan Street | Ferntree Gully | Victoria, | 3156 | Australia