Bill M. Williams, Ph.D. is considered as one of the forefathers of modern trading psychology. Back in the 1980’s, he came up with chaos theory that offered a methodological understanding of market structures. He combined trading psychology with applied technical analysis and offered a vastly advance trading system that was ahead of his time. Even today, both retail and institutional traders consider his Chaos theory, Wiseman Indicators, and the Alligator Trading System to be one of the most sophisticated technical analysis systems.

In line with his chaos theory, Dr. Williams developed a range of technical indicators. His approach to technical analysis and proper use of the Wiseman Indicators combined with the rules he outlined makes up the bulk of the Alligator Trading System.

Fractals are labeled by Dr. Williams as the first dimension of his technical analysis system. Fractals are essentially short-term support and resistance levels in the price chart, and these are the fundamental building blocks of the Alligator Trading System.

The Alligator Trading System is a rather complicated system as it uses several different Wiseman Indicators in combination with some sophisticated rules to enter the market, scale positions, and has clearly defined rules about when to get out of the market.

The beauty of the system is that once you have learned to use the Wiseman Indicators in combination with the Chaos Theory, scanning markets and getting a proper understanding about the ongoing trend, or lack of it, will become a child’s play.

参考链接

如何使用鳄鱼线

混沌交易法与帝王蝴蝶

混沌交易法系统

海龟交易者