Sample Slides from a course I wrote myself on trading the Stock market using charts. It is a full day seminar. I am prepared to travel worldwide to deliver this seminar. Feel free to contact me at patlynch@stockmarkettraining.ie or call me at +353872416668. Perhaps you might consider getting a group of like minded people together. I am delighted to share the knowledge I have learned over the last 10 years. Full manual supplied at the course and all my chart settings supplied. Take a look at my web site www.stockmarkettraining.com I am looking for partners to expand internationally.

1. Stock Charts
“Reading the signs”
Presented By: Pat Lynch
© 2010 www.stockmarkettraining.com

2. Course Content
9- 9.15 Introduction
9.15-10.30 Support and Resistance
Reversal Patterns
Moving Averages 10-20-50
11- 12.30 Stochastic and V’s
MACD
Bollinger Bands

3. Course Content
1.30 – 2.00 Balance of Power, BOP
Moneystream
2.00 – 3.00 Where is the Value – “Finding Fallen
Angels”
3.15 – 4.45 Pat’s Pointers on discovering trade
secrets
4.45 – 5.00 Question Wrap up

4. Course Courtesy
 Fire Exits
 Please switch of mobile phones
 Please be prompt at break times
 Questions
 Pace

5. Course Format
 Notes provided as reminder of topics
 Use of live chart data discussion

6. Introduction to Pat Lynch
 Married to Phyl with 3 girls
 Accountant and MBA
 CEO of Stock market Training
 Sit on various Boards and invested in various companies
 Worked in Accounting roles for U.S. firms in Ireland
 Set up Microtech Cleanroom Services in 1998
 Won various awards for Microtech.
 Company got acquired in 2001
 Hobbies – family interests and travelling.

7. Support and Resistance

8. Charting Features
Channels

9. Reversal Patterns

10. Potential Reversal

11. Moving Averages

12. 10/20 Moving Averages
The idea of the 10 and 20 day Moving Average is to signal buy
and sell. This is done by running the two moving averages on the
same price. The 10-DMA is faster than the 20-DMA and buying
or selling is indicated when the faster average crosses the slower.
Red 10 through Yellow 20 up is Buy and down is Sell
A weakness is that they become less dependable when the stock is moving
sideways in a narrow trading range.

13. 10/20 Moving Averages
 10 day and 20 day
 10 day used as support on the way up
sometimes 20 day may be used
 10 day used as resistance on a declining
share price
 Lagging indicator

14. 50 Day Moving Average
 Longer periods
 Very Powerful tool
 Confirms reversal
once it in penetrated
 Stock can often come back to test 50 day
where is will act as support or resistance
 Support and Resistance ON or UNDER the
average

15. Live Examples

16. Stochastic and V’s

17. Stochastic and Vs
 Stochastic helps us to determine whether price is
overbought or oversold on a 0-100 scale.
 Near the 80 mark means that the stock is being
overbought. This may be indicating that interest
in the stock is short term and people will be
moving out of the stock soon after they make
some money. The trading signal here is to sell
when the red line crosses beneath the grey line
from above the 80 marker.

18. Stochastic and Vs
 Near the 20 marker means that the stock is
being oversold and that it could represent a
good bargain as it may be moving towards a
valuable buy. The trading signal here is to
buy when the red line crosses above the
grey line from below the 20 marker.
Divergence signals when found strengthen
your position.

19. Stochastic and Vs
 Stochastic is only valuable if the share is trading
sideways
 Watch for V when the share is in the over sold
territory
 Watch for the reverse V in the over bought
territory
 Caused by a strong or a weak day on the stock
price
 Usually see 3 to 4 day run up or down
 Use it with other indicators

20. MACD

21. MACD
 The idea of MACD, Moving Average
Convergence Divergence, is to monitor two
moving average figures as they come
together or move apart. MACD consists of
three exponential price-moving averages,
instead of just one or two simple Price
Moving Averages. It is also known as a
centred oscillator. This is because it
fluctuates around a zero line.

22. Bollinger Bands

23. Bollinger Bands
 Confirm Reversal
Patterns
 Shows strength of one
move versus another
– Rally to or above upper
band is stronger than
one that does not touch
the band and the same
for sell-off on the
lower band

24. Bollinger Band
 Trade between 10 day and outside limit of
the Bollinger Band
 Watch for opportunities to sell or buy when
daily price moves outside the Bollinger
band
 Watch for the neck of the bottle
 Watch for the break when run is finished
 Double Tops and Bottoms

25. Live Examples

26. BOP and CMS

27. Balance of Power
The idea of the BOP is to measure
the systematic buying and selling
of stocks in a given company by
the large institutions. The
calculation is the intellectual
property of Worden Brothers
Incorporated. It is a "Trend
Quality" indicator, which means
that it demonstrates underlying
endorsement of a stock trend
rather than predicting change.

28. Balance of Power
We are looking for the build-
up of green bars as buy and
red bars as sell indicators.
Yellow gives no indication as it
is neutral.
Used in conjunction with the
crossover on Moving Average
in price we have strong signals
for our stock.

29. Where is the Value?
“Finding Fallen Angels”

30. Rules
 Look for good quality companies
 Often on a two to five year low
 It will be out of favour
 Watch for some of the teachings from to
day to be happening
 Use 7 day settings and watch money stream

31. Rules
 Protecting your Capital and collecting Rent
 Buy good quality share
 Buy protection- Put
 Sell Rent each month
 Remember we are looking at Quality
companies that become Fallen Angels

32. Pat’s Pointers

33. Pat’s Pointers
 Do not trade the 1st hour of the day
 Last hour is the best hour to trade
 Be Patient
 Watch for fallen angels
 Be careful during Earnings
 Keep a journal

34. Pat’s Pointers
 Use stop losses
 Protect your Capital
 Control your emotions- Remember you are
a spectator
 You need to be well trained
 Know your charts
 Remain in cash as much as possible when
the market is high

35. Live Examples

36. Developing Skills
 Be careful
 Never stop learning
 Invest in understanding and invest in
yourself
 Courses
 Mentoring
 www.Stockmarkettraining.com

37. Wrap up Questions
Remember
“The focus of today’s topic was identification
and not strategy”
Thank you

38.  Pat Lynch who lives in Cork, Ireland uses these
slides plus more to present a one day seminar on
the Stock Market. Pat can be contacted at
patlynch@stockmarkettraining.ie
or by phone +353872416668
Check my linkedin profile
http://ie.linkedin.com/pub/pat-lynch/b/898/6a8
or web site: www.stockmarkettraining.com
I am interested in delivering this seminar
worldwide. Get a group together and call me