MESA References
This supplement not only offers a good explanation of what each study is and
how to control it, but also a useful six-page illustrated guide written by John
Ehlers, the pioneer and main promoter of market applications of MESA, that
provides an excellent overview of what MESA is and how to trade with it. Virtually
identical selections are also available in the Aspen Graphics manual version
2.2.227, pages 8-79 through 8-88, and pages 8-30 through 8-34.
A useful introductory supplement:
This readable article, again from John Ehlers, introduces MESA in a slightly
different way, with some useful discussion of Equitick charting, and comes
complete with 10 illustrations. Also check out the goofy Aspen ad on the back page.
Depth for the enthusiast:
MESA and Trading Market Cycles, by John F. Ehlers (Wiley Trader
John Ehlers wrote this book as the authoritative source on MESA. The first
part of the book lays out some of the background to the development of MESA
techniques, their rationale, and various applications, and goes into more
mathematical detail than will be interesting to most users. The last four chapters focus
on actually using MESA studies and expand on the briefer explanations offered
in the Aspen Graphics Users Guide addendum and the magazine article.
For the hard-core MESA maven:
The Ehlers article described above finishes with a short bibliography for
further reading. Look for a 1992 article by Ehlers,
1984, four articles by Anthony Warren on maximum entropy techniques, which are
ancestors of MESA, in the same magazine.
1983 book Volume Cycles in the Stock Market: Market Timing through Equivolume Charting, by Richard W. Arms, now available through Arms Equivolume Corp. in
Albequerque, New Mexico, U.S.A., which lays out the rationale for Equitick and equivolume
charting.