Professional Documents
Culture Documents
WC20010908 Gibby Core
WC20010908 Gibby Core
com Presents
Dan Gibby
West Coast Manager
The authors and publisher assume no responsibilities for actions taken by readers. The authors and publisher are not
providing investment advice. The authors and publisher do not make any claims, promises, or guarantees that any
suggestions, systems, trading strategies, or information will result in a profit, loss, or any other desired result. All
readers and seminar attendees assume all risk, including but not limited to the risk of trading losses. Options
involve risk and are not suitable for all investors. Prior to buying or selling an option, a person must receive a copy of
Characteristics and Risks of Standardized Options (www.cboe.com).
Day Trading can result in large losses and may not be an activity suitable for everyone.
Copyright © 1994-2001 by Pristine Capital Holdings, Inc. All rights reserved. Printed in the United States of America.
Except as permitted under the United States Copyright Act of 1976, no part of this publication may be reproduced or
distributed in any form or by any means, or stored in a database or retrieval system, without prior written permission of
the publisher.
Table of Contents
Introduction
The Major Time Shift
Fact # 1 Fact # 2
20 years ago, the Today, the
typical investor typical investor
looked to hold a looks to hold a
stock position for stock position for
4 ½ years, on 4 ½ months.
average.
Pristine Theories
Theory # 1 Theory # 2
We believe, the Long-term
investor’s average Investing,
holding period for commonly referred
any stock will drop to as the “buy-and-
to 4 ½ weeks…. hold” approach, is
becoming less
inside of 2 years!! effective by year!
The Dynamics of Change
Fact # 1 Fact # 2
20 years ago, “Today, the
fundamental ‘purely’
analysis was fundamental
considered the analyst is
only proper way virtually extinct.”
– Mark Douglas, author of
to make market The Disciplined Trader and Trading In
decisions The Zone
The Dynamics of the Analytical Shift
IV) Under extreme stress and glee, people react the same way.
Foundation
Four Styles of Trading
Types of Trading
Four Styles of Trading: Core; Swing; Guerilla; Micro
Pristine Tip:
At All Times!
Core Trading Defined
Who is
Buyer Seller
Smarter?
Close Open
Open &
Close
Open Close
140
Topping Tails
120 Stage 3 Pristine
traders in
bushes
100
Stage 4 ready to
Pristine traders
80
Stage 2 pounce on
buy on Major breakout
Stage 1 break60 to after NRBs
Major Stage 2 and COG
40
Stage 1
20
100000000 500000
0 Volume
J A J O J A J O J A J Up-ticking
Stage 2 Uptrend-GREED
STAGE
• Higher highs & higher
lows
• Moving averages & Stage 2
trend up
• Buy the dip
(Minor Stage 2)
TRENDS
Upward Trend
Downward Trend
d20ma
d40ma
Investor Buys!
r20ma Shorts!
r40ma
The Investor is a loser!
Core Trader Buys!
20ma
40ma
BT S
B 20ss
3-5
3-5 S
B
Pristine Charting Power!!
CBS
Color Coded Volume B
Volume Climax
Wide Bars
Japanese Candlesticks
Small Bars
3) 20sma
4) 40sma B
B
B
B r20ma
B r40ma
Color coded Volume
Japanese Candlesticks
BUYERS SELLERS
CONTROL CONTROL
HIGH TAIL
CLOSE OPEN
BAR
OPEN CLOSE
TAIL
LOW
Each bar tells us who won the battle within that bar
COLOR: Buyers vs. Sellers - Controlling The Market (Goliath)
LENGTH: Indicates Weakness Or Strength
REVERSAL: Type of bar after extended run
Candlesticks
Close Open
Open &
Close
Open Close
Pristine Tip:
Bulls and Bears cannot consistently win more
than 5 battles in a row. Each side typically
surrenders to the other after 3 to 5 battles won.
However…
Pictures of Greed
Think “Sell”
Think “Sell”
Think “Sell”
3 Bars Up 4 Bars
PristineUp
Capital Holdings, Inc.5 Bars Up
3 to 5 Bar Rallies
Pictures of Pain
3 Red Bars
3 Red Bars 5 Red Bars
5 Red Bars
5 Green Bars
4 Red Bars
3 Red Bars
3 Red Bars
$160 Catastrophe!
The Party is Over!
r20ma r20ma
r40ma r40ma
6-Down
It’s Party Time! 6-Down
Bottoming Tail
Bottoming Tail
r20ma
r40ma r20ma
r40ma
Bear COG
Bull COG
Pristine Capital Holdings, Inc.
Bear Changing of the Guard™
1) 5 Up Bars in a row
5-Up 5-Up
2) Bear COG™
3) Topping Tail (TT)
$120 Catastrophe
The Party is Over!
r40ma r40ma
5 Down Bars
4 Up
3 Down Bars Tails Bars
Bull COG™
Bull COG™ Bull COG™
The Strategies
Mighty 20ma Plays
r20ma Play
d20ma
1) Rising 20 MA (r20ma) +
2) Rising 40 MA (r40ma) +
r20ma
r40ma
3 D/Bars
3 D/Bars
1) Rising 20 MA (r20ma) +
2) Rising 40 MA (r40ma) +
r20ma
r40ma
1) Declining 20 MA (d20ma) +
d20ma
d40ma
1) Declining 20 MA (d20ma) +
2) Declining 40 MA (d40ma) +
d20ma
r20ma
r40ma
r20ma
r20ma
r40ma
d20ma
d40ma
d20ma
d40ma
Sna
rs
p Ba
40ma
Ba
Up
ck to
Wide Distance
Wide Distance
ore
a
20m
40 m
3o
rM
rM
3o
k to
ore
Bac
Do
20ma
wn
Sna p
Ba
rs
Climactic Buy
Pristine Capital Holdings, Inc.
Climactic Sell Set-up I
r40ma
Climactic Volume
d20ma
d20ma
It’s Party Time!
125% Party!
1) 9 Down Bars in a row 9-Down 9-Down
2) Climactic Volume
3) Far from 20ma
Climactic Volume Climactic Volume
6-Down 6-Down
A 100% Party
COG
COG
It’s Party Time!
d20ma