Welcome:  
Lesson 1: Wrap Up

Lesson 1 is dedicated to familiarizing you with Point and Figure charts, basic charting concepts and the three box reversal method.

It is important that you understand fully the workings and rules of three box reversals, the box sizes and the flow chart of investing. Without a sound foundation of this information it will be difficult to understand the following lessons and the more in-depth features of Point and Figure. The change of box size is always something that takes a little getting used to and it is highly advisable that you continue to do your own hand charting even after completing this University. The better you familiarize yourself with three box reversals the more comfortable you will be with your skills in PnF charting.

Another neat thing to do is pull up a chart on the DWA database, one that has made a significant move during the trading day, and see what the chart looked like before the major move. This way you can get a feel of the chart prior to large swings either up or down - see what the chart was telling you ahead of time. I found this to be extremely helpful and a fun exercise to work on daily. Getting the "feel" of the charts will build your confidence as well. Use the DWA database to print charts to keep by hand.

In time you will be able to look at a chart with highs and lows of the day and even during the trade day, and determine the direction of the chart. This becomes almost intuitive in time. If you still find these concepts confusing, we encourage you to re-read Chapter Two of "Point & Figure Charting, 3rd Edition" by Thomas Dorsey.

Part 1: Attributes of a Chart   Part 2: Chart Basics
  Attributes
Box Scales
Dates and date lines
Numbers and letters for the months
    Three box reversal
Box scale tables
Flow chart of investing
Examples of how to chart

We will now test you to find your comprehension of the subjects discussed in Lesson 1.