Michael Covel

Richard E. Cripps, CFA & Chief Market Strategist at Legg Mason, offered a review of Trend Following recently. In a follow-up document he stated:

“Trend Following, by Michael Covel, is a new book gaining popularity among investors. The book is challenging to the methods of conventional portfolio strategy. We point out the similarities in the approach of trend following and the PPS model.”

Download Legg Mason Report on Trend Following and their PPS Model.

Read Legg Mason review of Trend Following from Richard Cripps.

Richard Cripps

Full PDF review here.

“A most interesting book–definitely a ‘must have’ on your shelf. Pull out the plastic and get it!…Trend Following is well constructed, well written and an excellent distillation of the research undertaken by the author. Backed up by trading ‘legends’ like Ed Seykota, it convincingly argues that the most successful trading systems are based on trend following…While you may read the book in bed, especially the first time, it is best read at a desk with a notepad handy. While seeming to come from the perspective of technical analysis it is still a very good book on trading psychology…The book is both a great read and an insightful textbook for all traders and investors.”
Garnett Znidaric
Your Trading Edge Magazine
http://www.yte.com.au
Australia

“Please read [Trend Following] whether you think you have an interest in trend following or are not quite sure. I guarantee you will be happy that you took the time. It, of course, covers how trend following works, how it’s done, and who can do it, and it doesn’t beat around the bush with generalities. But, on top of that, it really delves into the human nature of inventors and traders like I’ve seen few books do well, and that alone will make it worth the read…Once you begin reading the book, if you have a choice, I bet you will put it down only for meals and bathroom breaks. It’s that well done…Again, get this book. Covel has hit a homerun with it.”
Gail Osten
Stocks, Futures & Options Magazine
September 2004 Book Review

Read complete September 2004 book review of Trend Following.

There has been a wide cross section of positive endorsements for Trend Following since the late April 2004 release. However, Victor Niederhoffer’s negative review may be the best endorsement yet.

Why is his negative review positive?

1.) Niederhoffer does not believe Trend Following works. He felt this way (and stated so) long before Trend Following hit the shelves. He ignores all performance data of all trend followers for the last 30 years — and continues to draw the conclusion that trend following trading is “horoscope reading”.

2.) Niederhoffer’s review appears to be a response to pages 136-139 of Trend Following. These pages cast a less than positive light on his trading technique.