Some highly recommended books - futures io
futures io futures trading



Some highly recommended books


Discussion in Traders Hideout

Updated
      Top Posters
    1. looks_one Fat Tails with 49 posts (96 thanks)
    2. looks_two Big Mike with 37 posts (80 thanks)
    3. looks_3 wh with 13 posts (15 thanks)
    4. looks_4 cunparis with 13 posts (30 thanks)
      Best Posters
    1. looks_one SMCJB with 3.0 thanks per post
    2. looks_two cunparis with 2.3 thanks per post
    3. looks_3 Big Mike with 2.2 thanks per post
    4. looks_4 Fat Tails with 2.0 thanks per post
    1. trending_up 262,343 views
    2. thumb_up 677 thanks given
    3. group 235 followers
    1. forum 500 posts
    2. attach_file 46 attachments




Welcome to futures io: the largest futures trading community on the planet, with well over 125,000 members
  • Genuine reviews from real traders, not fake reviews from stealth vendors
  • Quality education from leading professional traders
  • We are a friendly, helpful, and positive community
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts
  • We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

(If you already have an account, login at the top of the page)

 
Search this Thread
 

Some highly recommended books

(login for full post details)
  #101 (permalink)
British Columbia
 
Experience: Advanced
Platform: NINJA
Broker: ZEN
Trading: Crude
 
Posts: 1,091 since May 2010

Cool, I'm gettin' it. As a former short lived interbank dealer at ICAP, I can totally attest to the seedy nature of this business. The monkies just get greasier the higher up on the wheel they climb...

Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #102 (permalink)
British Columbia
 
Experience: Advanced
Platform: NINJA
Broker: ZEN
Trading: Crude
 
Posts: 1,091 since May 2010

Taleb and Douglas, two that impacted me most...

Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #103 (permalink)
Queensland, Australia
 
Experience: Intermediate
Platform: NinjaTrader, ProRealtime, Others
Broker: IB
 
Posts: 94 since May 2010
Thanks: 102 given, 47 received

Yeah I read the MD trading in the zone book, aided in much benefit towards the mental process. Thumbs up.

Still need to read these others though, but one day at a time I guess.

Reply With Quote
 
(login for full post details)
  #104 (permalink)
Amsterdam
 
Experience: None
Platform: Metro|Vela, Bantix, BBG
Trading: Derivatives
 
Cogito ergo sum's Avatar
 
Posts: 190 since Jul 2010
Thanks: 223 given, 204 received

These are the top 3 books that the greatest impact on me:
The Black Swan - Nassim Nicholas Taleb
Option Volatility & Pric​ing: Advanced Trading Strategies and Techniques - Sheldon Natenberg
Trade Your Way to Financial Freedom - K. Van Tharp


I just finished reading the Big Short by Michael Lewis, this was a fun read but not necessarily helpful for trading.

Reply With Quote
 
(login for full post details)
  #105 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received

Trying to revitalize this thread a bid:

I am currently reading the book Algorithmic Trading & DMA by Barry Johnson, which I highly recommend:




It is interesting to know who are the guys you are playing against. It also will prevent you from ascending the Mount Everest with a pair of sandals. The book is relatively easy to read.

My next book afterward will be "Empricial Market Microstructure" by Joel Hasbrouck, I have already bought it and it sits and waits for me:





This one is a bit more demanding, requires some basic mathematical skills, so it will take some time.

Reply With Quote
The following 5 users say Thank You to Fat Tails for this post:
 
(login for full post details)
  #106 (permalink)
on the web mostly
 
 
Posts: 12 since Aug 2010
Thanks: 80 given, 3 received

Any comments on the book " Dynamic Hedging " - by Taleb ?

Reply With Quote
 
(login for full post details)
  #107 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


scamen View Post
Any comments on the book " Dynamic Hedging " - by Taleb ?

The book is more geared towards option trading, which so far has not been a topic on this forum. Taleb is well known, and judged by the table of contents, it is certainly an interesting book.

Reply With Quote
The following user says Thank You to Fat Tails for this post:
 
(login for full post details)
  #108 (permalink)
on the web mostly
 
 
Posts: 12 since Aug 2010
Thanks: 80 given, 3 received


Fat Tails View Post
The book is more geared towards option trading, which so far has not been a topic on this forum. Taleb is well known, and judged by the table of contents, it is certainly an interesting book.

Some traders prefer options over other instruments, since options maximises the return with leverages, slightly higher than the futures, of course its risky but with sound strategies it can favor the traders.my 2 cents.

Reply With Quote
The following user says Thank You to scamen for this post:
 
(login for full post details)
  #109 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


scamen View Post
Some traders prefer options over other instruments, since options maximises the return with leverages, slightly higher than the futures, of course its risky but with sound strategies it can favor the traders.my 2 cents.

This is just like the difference between playing violon and playing piano. Difficult to be a master of both instruments.

Reply With Quote
The following user says Thank You to Fat Tails for this post:
 
(login for full post details)
  #110 (permalink)
on the web mostly
 
 
Posts: 12 since Aug 2010
Thanks: 80 given, 3 received


Fat Tails View Post
This is just like the difference between playing violon and playing piano. Difficult to be a master of both instruments.

ok, cool.well it would take time for sure, but once achieved there's no looking back.

Reply With Quote
 
(login for full post details)
  #111 (permalink)
Paris, France
 
Experience: Advanced
Platform: Market Delta & Ninjatrader
Trading: ES
 
cunparis's Avatar
 
Posts: 2,565 since Jun 2009
Thanks: 1,162 given, 2,079 received

It's been a while since I posted in this thread but it just occurred to me as I read the new posts today that I've read countless books on trading, probably 20+ and the majority of them were completely useless and I'd even say the majority of them lead me astray. I wish I hadn't read most of them or wasted my time on them.

So choose your books wisely.

Follow me on Twitter Reply With Quote
The following 3 users say Thank You to cunparis for this post:
 
(login for full post details)
  #112 (permalink)
Germany
 
Experience: Advanced
Platform: Quanthouse, Multicharts
Broker: IB / IQ / EBS-ETS
Trading: FDAX, FGBL, FGBM, CL, ES
 
Locust's Avatar
 
Posts: 96 since Aug 2010
Thanks: 40 given, 113 received

Having only a rough idea about ichimokus, i went and bought Davids book.

It is written very clearly and to the point and will tell you you everything there is to know about clouds.

Surprisingly his introduction turns out be a well rounded overall starter on technical analysis.

So I would even recommend it to charting novices.

https://www.cloudcharts.com/images/cloudChartsBookImg.jpg

PS: His colleague Jeremy du Plessis wrote the from my point of view best book on Point & Figures.

https://www.amazon.com/gp/reader/1897597630/ref=sib_dp_pt

Locust


Visit my futures io Trade Journal Reply With Quote
The following 2 users say Thank You to Locust for this post:
 
(login for full post details)
  #113 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,339 since Jun 2009
Thanks: 32,016 given, 96,540 received


cunparis View Post
It's been a while since I posted in this thread but it just occurred to me as I read the new posts today that I've read countless books on trading, probably 20+ and the majority of them were completely useless and I'd even say the majority of them lead me astray. I wish I hadn't read most of them or wasted my time on them.

So choose your books wisely.

Can you be more specific about which books and why?

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to Big Mike for this post:
 
(login for full post details)
  #114 (permalink)
on the web mostly
 
 
Posts: 12 since Aug 2010
Thanks: 80 given, 3 received


cunparis View Post
It's been a while since I posted in this thread but it just occurred to me as I read the new posts today that I've read countless books on trading, probably 20+ and the majority of them were completely useless and I'd even say the majority of them lead me astray. I wish I hadn't read most of them or wasted my time on them.

So choose your books wisely.


Big Mike View Post
Can you be more specific about which books and why?

Mike

Yes please, it will help other traders to save their precious time.

Reply With Quote
 
(login for full post details)
  #115 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


scamen View Post
Yes please, it will help other traders to save their precious time.

Ok, if we want to put up a list on highly decommended books, we should do it in another thread. This makes it easier, if we get a take-down notice. Also the bashing will not pollute this thread. I can at least contribute 10 books as well.

Reply With Quote
 
(login for full post details)
  #116 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,339 since Jun 2009
Thanks: 32,016 given, 96,540 received


Fat Tails View Post
Ok, if we want to put up a list on highly decommended books, we should do it in another thread. This makes it easier, if we get a take-down notice. Also the bashing will not pollute this thread. I can at least contribute 10 books as well.

Please do not worry about take down notices. I have attorneys for that.

I think this is the appropriate thread for a list of highly recommended books. It's the title of the thread!

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to Big Mike for this post:
 
(login for full post details)
  #117 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


Big Mike View Post
Please do not worry about take down notices. I have attorneys for that.

I think this is the appropriate thread for a list of highly recommended books. It's the title of the thread!

Mike

Sorry, used the word "decommended" for disadvised, LOL.

Reply With Quote
 
(login for full post details)
  #118 (permalink)
Toronto, Ontario
 
Experience: Advanced
Platform: NinjaTrader, Multicharts
Broker: IB, IQfeed
Trading: ES, CL
 
Snoop's Avatar
 
Posts: 203 since Oct 2009
Thanks: 135 given, 164 received

Hmmmm, books I didn't like....
I've read easily over 50 books on trading and even the ones I didn't like; they still had some useful content. Actually, some of main aspects of my trading style are with tools and techniques that I initially dismissed as not useful. For some reason or other, I persisted to study them and then "saw the light".
But I'm curious to see this list too. Mike did say "which ones" earlier.

Reply With Quote
 
(login for full post details)
  #119 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,339 since Jun 2009
Thanks: 32,016 given, 96,540 received


Snoop View Post
Hmmmm, books I didn't like....
I've read easily over 50 books on trading and even the ones I didn't like; they still had some useful content. Actually, some of main aspects of my trading style are with tools and techniques that I initially dismissed as not useful. For some reason or other, I persisted to study them and then "saw the light".
But I'm curious to see this list too. Mike did say "which ones" earlier.

I agree that even when I read a book I didn't like, it helped reinforce or underscore my own principles. For instance, if I read a book about a method, and I strongly disagree with it, I have still learned something.

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to Big Mike for this post:
 
(login for full post details)
  #120 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


Big Mike View Post
I agree that even when I read a book I didn't like, it helped reinforce or underscore my own principles. For instance, if I read a book about a method, and I strongly disagree with it, I have still learned something.

Mike

This is true for most of the books, but you also have to take into account the opportunity cost. You could have spent the same time reading a better book.

And some books are that bad, that you can condense them into one page without losing any considerable amount of information.

Again, I do not want to cite them here. It is much more fun to discuss really good books and recommend them.

Reply With Quote
 
(login for full post details)
  #121 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,339 since Jun 2009
Thanks: 32,016 given, 96,540 received


Fat Tails View Post
Sorry, used the word "decommended" for disadvised, LOL.

I missed that in your first post, so I better understand now what you are saying.

Thx
Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to Big Mike for this post:
 
(login for full post details)
  #122 (permalink)
Germany
 
Experience: Advanced
Platform: Quanthouse, Multicharts
Broker: IB / IQ / EBS-ETS
Trading: FDAX, FGBL, FGBM, CL, ES
 
Locust's Avatar
 
Posts: 96 since Aug 2010
Thanks: 40 given, 113 received


Fat Tails View Post
This is true for most of the books, but you also have to take into account the opportunity cost. You could have spent the same time reading a better book.

And some books are that bad, that you can condense them into one page without losing any considerable amount of information.

Again, I do not want to cite them here. It is much more fun to discuss really good books and recommend them.

This definitely true for sort of book "I make you rich in 2 weeks, trading the markets"

But for a lot of the books out there agreeing with the ideas or not, if you take one or two sentences out of it, that help you make better trades it is worth the money. Meaning the standard price for book, depending on your lot size is what 1,2,3 ticks. As far as time goes, sitting in front of a quite market can be the quite boring.

Locust


Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #123 (permalink)
Paris, France
 
Experience: Advanced
Platform: Market Delta & Ninjatrader
Trading: ES
 
cunparis's Avatar
 
Posts: 2,565 since Jun 2009
Thanks: 1,162 given, 2,079 received


Big Mike View Post
Can you be more specific about which books and why?

I'd say the majority of book authors aren't even trading profitably. Trading is hard, writing books about it and pretending to trade is much easier.

An example is Tim Ord's book. He has the "secrets" to price & volume. Yet in his own trading, he doesn't even use this. And he has been short the S&P since the 800's.

Another example is Kase's book. I spent weeks learning that, practicing it, trading it on simulator. That's weeks of my time lost.

Another example is Larry Williams's books.

Another is Marcel Link's book. Total garbage.

I could go on and on. None of that stuff works.

It seems most authors write books in order to promote their indicators, software, newsletter, or webinars. They're all in it for something. And it's similar for blogs. Most blogs have an agenda - to sell webinars or software. And the free webinars have an agenda too, they want you to sign up for their newsletter or chatroom. It's all promotion.

In this case I think fewer is better. Less is more.

Basically anything that teaches you a method to trade profitably is most likely bogus.

Books that teach you about yourself, about trading but not how to trade, or about psychology are much more useful. Market Wizards, the books about Livermoore, the Pit Bull book, and possibly psychology books (I haven't read any yet). For example I recently read Crisis Economics which was excellent. I'm currently reading "Devil take the hindmost" which is about the various bubbles in history.

I recently read "How we decide" which was awesome and had a serious impact on my trading. After reading that I started journaling and I realized how multiple timeframes and sine waves were just confusing me. They talk about how the human brain can only handle 4-10 things at a time (most people are towards 4). So I was trying to monitor 20+ things. That led to confusion. Now I trade off one timeframe just looking at a couple charts and I'm doing much better. That book taught me, rather convinced me, of much more than any book on trading.

I'm currently reading Outliers. The 10,000 hour rule is great. It explains why so many fail in trading. They don't stick around for the 10,000 hours. They either give up or blow up. I estimate my hours around 7,500. So I'm close.

I think books like this can teach us much more than a book about setups, chart patterns, indicators, setups, etc.

This is all just my opinion. Be careful of any author be it a book or a blog who happens to have a newsletter or software or a trading room or webinar or DVDs or anything else to sell you. It's a huge conflict of interest. He can't tell you everything in the book because they he'd have nothing to sell. So the book is a teaser to get you to buy something else. Heck be skeptical even if they're not selling anything.

And remember that we have no proof that any of these authors are actually profitable traders. So by reading books from people who aren't pretending to be profitable traders, we can avoid the conflict of interest and learn a lot about ourselves which is much more helpful.

I hope you find that useful, I really don't want to debate the subject. If people learn from reading the books I despise then that's great and I'm happy for you. Whatever works.

Follow me on Twitter Reply With Quote
The following 13 users say Thank You to cunparis for this post:
 
(login for full post details)
  #124 (permalink)
Toronto, Ontario
 
Experience: Advanced
Platform: NinjaTrader, Multicharts
Broker: IB, IQfeed
Trading: ES, CL
 
Snoop's Avatar
 
Posts: 203 since Oct 2009
Thanks: 135 given, 164 received

Cunparis, Some interesting books you've listed that I will check out.

I agree fully on the "how to get rich" or "learn my method that made me millions" type of books being useless. I've never been attracted to those books as I'm always leery that the author is a snake-oil salesman.

Depending on where one is in their learning (I think most traders are woefully unprepared), there are numerous classic technical analysis books that I believe are a must read. I took the CMT years ago and the base curriculum forced me to read about T.A. disciplines that I wasn't aware of, or thought I knew but really didn't know much. Some of it I ended up dismissing, as it didn't strike a chord with me but it was still useful to me.

The barriers to entry in trading are pretty low. Open an account, and you're given all the necessary tools for next to nothing $. Read a couple of blogs and many think they know what's necessary. I understand, people are in a hurry to find the keys to success, but reading and learning are part of the 10,000 hrs imo. It's hard work and that's why most people quit and fail.

Reply With Quote
The following 3 users say Thank You to Snoop for this post:
 
(login for full post details)
  #125 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


cunparis View Post
I'm currently reading Outliers. The 10,000 hour rule is great. It explains why so many fail in trading. They don't stick around for the 10,000 hours. They either give up or blow up. I estimate my hours around 7,500. So I'm close.

I think books like this can teach us much more than a book about setups, chart patterns, indicators, setups, etc.

I have read "Outliers" as well. It is a recommended and enjoyable read. Also enjoyed "The Wisdom of the Crowds" and "Why Most Things Fail". These are not exactly books that belong into a trading library, but they do have an impact.

One of my favourites is "The Evolution of Cooperation" by Robert Axelrod. For me this is a trading book. If you understand how strategies evolved during the computer tournaments, you should soon have an idea that this can be applied directly to any market place like a futures exchange. Algorithmic trading strategies, which now account for over 50% of volume compete with discretionary traders in different time frames. If you have read Axelrod's book you also will also know, why simple strategies, such as the breakout strategies of the Turtle Traders do not work any more.

As traders we are just agents in a complex game. There is no absolute truth, the strategies feed on each other. There are co-operative strategies (supplying liquidity) and non-cooperative strategies (asking for liquidity), all of them evolving during time. Many species are already extinct.

I have just purchased another book by Axelrod "The Complexity of Cooperation", but read the other one first.


Reply With Quote
The following 4 users say Thank You to Fat Tails for this post:
 
(login for full post details)
  #126 (permalink)
Nashville, Tennessee
 
Experience: Intermediate
Platform: Ninja / Jigsaw / 9G
Broker: AMP / CQG
Trading: NQ, YM and ES
 
tderrick's Avatar
 
Posts: 1,588 since Sep 2010
Thanks: 4,260 given, 2,529 received

I just picked up the Al Brooks book, "Reading Price Charts Bar By Bar". I think that will keep me busy for a while
studying the technical side of things.

I would like a book, also, for my mind.



What would be the better psychology book...


"Market Wizards" by Jack Schwager or...

"Trading in the Zone" by Mark Douglas or...

"Reminiscences Of A Stock Operator" by Edwin LeFevre


I eventually will have all of the above, but I need a good book for my trading mind now...


tia


AJ
Nashville, Tennessee


"Life On The Edge of SR"
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to tderrick for this post:
 
(login for full post details)
  #127 (permalink)
New York
 
Experience: Intermediate
Platform: Sierra Charts, TOS
Trading: E-mini S&P 500
 
Posts: 753 since Aug 2010
Thanks: 447 given, 436 received


tderrick View Post
I just picked up the Al Brooks book, "Reading Price Charts Bar By Bar". I think that will keep me busy for a while
studying the technical side of things.

I would like a book, also, for my mind.



What would be the better psychology book...


"Market Wizards" by Jack Schwager or...

"Trading in the Zone" by Mark Douglas or...

"Reminiscences Of A Stock Operator" by Edwin LeFevre


I eventually will have all of the above, but I need a good book for my trading mind now...


tia


"Trading In The Zone" has always been one of my favorites and most beneficial to me personally.

Cheers
Ryan

Reply With Quote
The following user says Thank You to itrade2win for this post:
 
(login for full post details)
  #128 (permalink)
Legendary Market Wizard
Philly, Pa
 
Experience: Master
Platform: NinjaTrader
Trading: ES, ZB
 
tigertrader's Avatar
 
Posts: 6,255 since Jul 2010
Thanks: 6,573 given, 34,937 received

Talent Is Overrated: What Really Separates World-Class Performers from Everybody Else
by Geoffrey Colvin (Paperback)




Follow me on Twitter Reply With Quote
The following 2 users say Thank You to tigertrader for this post:
 
(login for full post details)
  #129 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


tderrick View Post
I just picked up the Al Brooks book, "Reading Price Charts Bar By Bar". I think that will keep me busy for a while
studying the technical side of things.

I would like a book, also, for my mind.



What would be the better psychology book...


"Market Wizards" by Jack Schwager or...

"Trading in the Zone" by Mark Douglas or...

"Reminiscences Of A Stock Operator" by Edwin LeFevre


I eventually will have all of the above, but I need a good book for my trading mind now...


tia


To start with: All books are definitely worth reading and can be considered as classics.


Market Wizards

"Market Wizards" and "New Market Wizards" by Jack Schwager are both excellent books that give an overview of the biographies and trading methods of some of the top traders. Most astonishing is how different these guys and their methods are. Absolutely recommended reading. I have read the books twice.

However, these are not books on psychology.


Trading in the Zone

In my opinion the books "The Daily Trading Coach" and "Enhancing Trader Performance" by Brett Steenbarger and the books "The Disciplined Trader" and "Trading in the Zone" by Mark Douglas are amongst the best books that have ever been written on trading psychology.

So if you want to buy books on trading psychology, these are the books you are looking for. Fight the demons that prevent you from following your rules.


Reminiscences of a Stock Operator

This is a wonderful book written in 1923, something to read during a week-end, but again it is not a book on trading psychology.

Reply With Quote
The following 2 users say Thank You to Fat Tails for this post:
 
(login for full post details)
  #130 (permalink)
Italy (IT)
 
Experience: Advanced
Platform: ATAS, R|Trader, NT8
Broker: Rithmic
Trading: CL, Brent, GC, TF
 
LukeGeniol's Avatar
 
Posts: 1,501 since Apr 2010
Thanks: 408 given, 984 received


tderrick View Post
......................

I eventually will have all of the above, but I need a good book for my trading mind now...


tia

U can also start to read some free articles from Breet Steenbarger on trading psicology http://www.brettsteenbarger.com/articles.htm.

Take your Pips, go out and Live.
Luke.
Reply With Quote
 
(login for full post details)
  #131 (permalink)
on the web mostly
 
 
Posts: 12 since Aug 2010
Thanks: 80 given, 3 received

for the uninitiated its better to start with auction theory books like Steidlmayer on Markets Amazon.com: Steidlmayer on Markets: Trading with Market Profile, 2nd Edition (9780471215561): J. Peter Steidlmayer, Steven B. Hawkins, Peter Steidlmayer, Steve Hawkins: Books before moving on to other stuffs.By the way Al Brooks book "Reading Price Charts Bar By Bar" is a good one for sure but a little advanced for the beginner.

Reply With Quote
The following user says Thank You to scamen for this post:
 
(login for full post details)
  #132 (permalink)
Nashville, Tennessee
 
Experience: Intermediate
Platform: Ninja / Jigsaw / 9G
Broker: AMP / CQG
Trading: NQ, YM and ES
 
tderrick's Avatar
 
Posts: 1,588 since Sep 2010
Thanks: 4,260 given, 2,529 received


Fat Tails View Post
To start with: All books are definitely worth reading and can be considered as classics.


Market Wizards

"Market Wizards" and "New Market Wizards" by Jack Schwager are both excellent books that give an overview of the biographies and trading methods of some of the top traders. Most astonishing is how different these guys and their methods are. Absolutely recommended reading. I have read the books twice.

However, these are not books on psychology.


Trading in the Zone

In my opinion the books "The Daily Trading Coach" and "Enhancing Trader Performance" by Brett Steenbarger and the books "The Disciplined Trader" and "Trading in the Zone" by Mark Douglas are amongst the best books that have ever been written on trading psychology.

So if you want to buy books on trading psychology, these are the books you are looking for. Fight the demons that prevent you from following your rules.


Reminiscences of a Stock Operator

This is a wonderful book written in 1923, something to read during a week-end, but again it is not a book on trading psychology.



Thanks... I always value your info....


AJ
Nashville, Tennessee


"Life On The Edge of SR"
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #133 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,339 since Jun 2009
Thanks: 32,016 given, 96,540 received


tderrick View Post
I just picked up the Al Brooks book, "Reading Price Charts Bar By Bar". I think that will keep me busy for a while
studying the technical side of things.

I would like a book, also, for my mind.



What would be the better psychology book...


"Market Wizards" by Jack Schwager or...

"Trading in the Zone" by Mark Douglas or...

"Reminiscences Of A Stock Operator" by Edwin LeFevre


I eventually will have all of the above, but I need a good book for my trading mind now...


tia

Moderator Notice
Moderator Notice



BTW, I did not care for Trading in the Zone but many do. Market Wizards, and Market Wizards II, and Reminiscences of a Stock Operator are all must-reads.

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #134 (permalink)
Paris, France
 
Experience: Advanced
Platform: Market Delta & Ninjatrader
Trading: ES
 
cunparis's Avatar
 
Posts: 2,565 since Jun 2009
Thanks: 1,162 given, 2,079 received


Big Mike View Post
BTW, I did not care for Trading in the Zone but many do. Market Wizards, and Market Wizards II, and Reminiscences of a Stock Operator are all must-reads.

You know I was going to say the same thing but then I thought it must just be me. I didn't get much out of Trading in the Zone. Maybe I need to read it again. I saw Douglas on some WiseTrade TV and it really turned me off that he'd be associated with them. Plus he wasn't impressive. I've traded in the zone when everything goes well and I trade off intuition. IMHO it comes with lots of practice, not from reading a book. I could write about it but it's something someone has to experience. People can experience it in plenty ways, not just in trading. Giving a presentation to a large group, performing in a concert, playing a video game, playing in a sports game, etc. Sometimes I get into the zone just playing piano. I can play without making any mistakes and everything goes well. Then I snap out of it, and I start questioning what I'm playing and wondering which finger goes well and then the song falls apart. I play much better when I don't think and just play. And trading is similar.

And the comment about Market Wizards & the Reminiscences of a Stock Operator not being about psychology.. I think there is a lot of psychology in those books. It's been at least a year since I've read them, 2 years for Market Wizards. I think I'll read them again before reading any "new" books on trading.

Follow me on Twitter Reply With Quote
The following 3 users say Thank You to cunparis for this post:
 
(login for full post details)
  #135 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,339 since Jun 2009
Thanks: 32,016 given, 96,540 received


cunparis View Post
And the comment about Market Wizards & the Reminiscences of a Stock Operator not being about psychology.. I think there is a lot of psychology in those books.

Agreed, they can have profound impact on how you view the market. There are many profound implications on strategy and psychology in the books. It is true, they are good entertaining stories as well, but there are so many profound sentences and statements in the books, it's just.. well... profound!

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following 2 users say Thank You to Big Mike for this post:
 
(login for full post details)
  #136 (permalink)
Toronto, Ontario
 
Experience: Advanced
Platform: NinjaTrader, Multicharts
Broker: IB, IQfeed
Trading: ES, CL
 
Snoop's Avatar
 
Posts: 203 since Oct 2009
Thanks: 135 given, 164 received

There are actually 3 Market Wizard books:
Market Wizards - first printed in 1989
New Market Wizards - 1992
Stock Market Wizards - 2001

This thread had me looking at them again and I've decided to re-read them (it's been so long I don't remember them!)
Has anyone come across the first one in digital format? Amazon only has #2 and #3 in kindle format.


Big Mike View Post
Moderator Notice
Moderator Notice



BTW, I did not care for Trading in the Zone but many do. Market Wizards, and Market Wizards II, and Reminiscences of a Stock Operator are all must-reads.

Mike


Reply With Quote
 
(login for full post details)
  #137 (permalink)
Germany
 
Experience: Advanced
Platform: Quanthouse, Multicharts
Broker: IB / IQ / EBS-ETS
Trading: FDAX, FGBL, FGBM, CL, ES
 
Locust's Avatar
 
Posts: 96 since Aug 2010
Thanks: 40 given, 113 received

Even though completely non trading related.

From my point of view,
a book every trader should have read is DOSTOEVSKY, "THE GAMBLER".

It gives you a compelling inside in the mind of a gambler and serves as perfect warning to what your trading
and emotions while your trading should not be like.

Locust

Visit my futures io Trade Journal Reply With Quote
The following 2 users say Thank You to Locust for this post:
 
(login for full post details)
  #138 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received

As Dostoyevsky's book this one also deals with the risk of ruin, albeit in a slightly different fashion. Recommended read:

Ralph Vince: The Handbook of Portfolio Mathematics



Reply With Quote
 
(login for full post details)
  #139 (permalink)
Mediterrenian
 
Experience: Intermediate
Platform: ninja
Broker: MBT
Trading: forex
 
Posts: 10 since Oct 2009
Thanks: 1 given, 6 received

It opened my eyes, showing the big players traders have no inherent advantage, except of the market manipulation for a very limited time.

Amazon.com: The Psychology of the Foreign Exchange Market (Wiley Trading) (9780470844069): Thomas Oberlechner: Books

Reply With Quote
The following 3 users say Thank You to xTrader1 for this post:
 
(login for full post details)
  #140 (permalink)
Clerkenwell, London
 
Experience: Intermediate
Platform: NinjaTrader
Broker: Mirus Futures/Zen-Fire
Trading: 6E
 
martifc's Avatar
 
Posts: 59 since Dec 2010
Thanks: 16 given, 26 received


Big Mike View Post
Moderator Notice
Moderator Notice



BTW, I did not care for Trading in the Zone but many do. Market Wizards, and Market Wizards II, and Reminiscences of a Stock Operator are all must-reads.

Mike

I found Trading In The Zone to be excellent for the psychological aspects of trading (the importance of truly thinking in probabilities and not just paying lip service to it). However it is repetitive and contains lots of needless waffle. I condensed the book into 6 pages of A4 which I sometimes re-read.


I don't much care for technical trading books. The Market Wizards books are great. Reminiscences of a Stock Operator (annotated edition very helpful for those aged under 100) is next. I'm gonna get Pit Bull on the strength of recommendations here. Beat The Forex Dealer also sounds like it might be a good read.

Reply With Quote
 
(login for full post details)
  #141 (permalink)
Milan, Italy
 
Experience: Intermediate
Platform: Amiborker
Broker: IB
Trading: stocks
 
theucreport's Avatar
 
Posts: 11 since Aug 2010
Thanks: 160 given, 11 received

“Ninety per cent of the game is half mental” - Yogi Berra

Here are some books that I'm currently reading and that I'd like to recommend to discretionary traders:

The Tao of Poker, Larry Phillips
The Art of Learning, Josh Waitzkin
Mind Gym, Gary Mack

Have happy holiday all.

UC

Reply With Quote
The following 2 users say Thank You to theucreport for this post:
 
(login for full post details)
  #142 (permalink)
Clerkenwell, London
 
Experience: Intermediate
Platform: NinjaTrader
Broker: Mirus Futures/Zen-Fire
Trading: 6E
 
martifc's Avatar
 
Posts: 59 since Dec 2010
Thanks: 16 given, 26 received

I'm reading this at the moment and it's great.

Chapter 1 starts with...


Quoting 
Markets

If one believes in a random universe, a strong case can be made for the fact that any sort of technical analysis and trading tactics are in fact quite useless. Under this scenario, random and unpredictable price movements makes research, analysis, and market timing an exercise in futility, and relegates any kind of strategy (other than buy-and-hold) to a game of chance, not skill. As Burton Malkiel famously noted, "A blindfolded monkey throwing darts at the financial pages of a newspaper can select a portfolio that will do just as well as one carefully selected by the experts". This market view is supported by the fact that the vast majority of mutual funds fail to beat the broader market year after year, and history shows us that the ten best-performing funds in any one year will drop to the bottom of the pack in the following two to four years, meaning that a manager''s outperformance is largely the product of luck, like a gambler''s short-term winning streak. Simply put, there is no way to consistently beat the market.
Needless to say, this view of things does not sit well with Wall Street, which preaches that research, analysis, and relying on expertise are the keys to investing (and their business model!). Assuming that we can draw a similar parallel to other markets, then why bother trading? Why spend so much time researching the market and analyzing prices when we could just as simply close our eyes and buy or sell?
Thankfully for traders, although the random walk theory paints a strong case against mutual funds, it is not entirely bullet-proof. Investors consistently fall prey to fear, envy, overconfidence, faddism, and other recognizably human imperfections that make markets not only inefficient but predictably inefficient. In the short run, recognizable patterns are indeed visible in the stock market. Bubbles are created, and then burst. If the DOW goes up one week, it is more likely to go up the next week. In the long run all of these moves smooth themselves out, but in the short run, predicting and trading these constant adjustments can actually make for quite a profitable proposition. Through research and analysis we can visually identify these inefficiencies and market anomalies in charts, and then trade their expected outcomes. The point in trading is therefore not to forecast the future events themselves, but rather to predict and profit from their consequences instead.
The day the financial community realized exactly how imperfect a science it practices was 19 October 1987. On this "Black Monday" US stock markets managed to drop an incredible 22.6% for no apparent reason, which proved especially shocking to the brilliant mathematical minds that had spent their academic careers solving most of the puzzles surrounding proper pricing and valuation. By the late 1980s it seemed that markets had finally been "figured out" and trading was no longer the realm of risk-hungry cowboys as technology quickly came to replace the gut in pricing (and trading) decisions. Yet in light of all this, the world''s biggest and most sophisticated market still managed to shed nearly one-quarter of its value in one day and on no news, putting into question even the most basic financial assumptions. By noon of that day, IBM''s stock stopped trading in the face of only sell orders; literally no one wanted to buy. If a stock is only worth as much as someone is willing to pay for it, did this mean that IBM''s stock was, at least for the time being, worthless? What exactly was going on? How could we call the market rational and efficient, let alone figured out?
The fact that this event now seems as distant as the stock market crash of 1929 is evidence of just how much we have moved forward, yet many of the underlying reasons behind the crash are still around today and the trading lessons behind these underline the major differences from what we may call the "academic" view of markets and the trader''s view.


Reply With Quote
The following 2 users say Thank You to martifc for this post:
 
(login for full post details)
  #143 (permalink)
Site Sponsor

Web: Jigsaw Trading
AMA: Ask Me Anything
Webinars: Jigsaw Trading Webinars
Elite offer: Click here
 
 
Jigsaw Trading's Avatar
 
Posts: 2,977 since Nov 2010
Thanks: 823 given, 10,310 received

I agree with Cunparis - most trading books aren't worth the paper they are written on.

I have Trading Authors in the same category as Trading Mentors - most do it because they have domain knowledge but couldn't make the grade trading.

Anyway - my contribution to best book for day traders is this:



It was recommended to me by a trader I aspire to be like.

Note that I do not play golf.

Visit my futures io Trade Journal Reply With Quote
The following 3 users say Thank You to Jigsaw Trading for this post:
 
(login for full post details)
  #144 (permalink)
GA
 
Experience: Intermediate
Platform: Ninjatrader / Zen-Fire, Tradestation
Broker: Amp and Mirus Futures / Zen-fire
Trading: 6E, EUR/USD, CL
 
Mindless's Avatar
 
Posts: 10 since Sep 2009
Thanks: 2 given, 20 received

Here's a book I found helpful.

The Intuitive Trader: Developing Your Inner Trading Wisdom [Hardcover]
Robert Koppel

Reply With Quote
 
(login for full post details)
  #145 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,339 since Jun 2009
Thanks: 32,016 given, 96,540 received


Mindless View Post
Here's a book I found helpful.

The Intuitive Trader: Developing Your Inner Trading Wisdom [Hardcover]
Robert Koppel

I'm not familiar with this book, what do you like best about it?

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #146 (permalink)
GA
 
Experience: Intermediate
Platform: Ninjatrader / Zen-Fire, Tradestation
Broker: Amp and Mirus Futures / Zen-fire
Trading: 6E, EUR/USD, CL
 
Mindless's Avatar
 
Posts: 10 since Sep 2009
Thanks: 2 given, 20 received



First of all. Please forgive my lack of strength in the writing department. That is possibly why I don't post much.

From my own experience: I know that you can only reach intuitive trading after you have truly accept the fact that losing trades are a normal everyday part of a traders life. And once you embrace losing you start to free yourself of all the distractions that come from trading with extreme emotional swings. A great example of traders not embracing losing is the constant search for the holy grail.

My own opinion of myself is that I am no expert of trading. Even though I have been making a living as a trader for close to 20 years. That mindset keeps my mind open to the big picture or high probable moves that the market may be making.

So back to the book. In the book the author uses real traders. to help you understand the different levels of intuition. For example one trader informs that he believes that intuition is only achieved after you have put in the thousand of hours of studying and applying with real $ your trading method. My take on that. Is after the repetition of using your method time and time again. You will have moments of clarity, and putting a trade on without hesitation. Like peddling your bike down the street.

And from my own opinion. I feel you can take it a little further by figuring out your core mythology. Are you leaning towards automated assist trading or discretionary. Are you a price-action trader or indicator base. Do you like using the info from the news and fundamentals (economic or business) to make decisions. Or do care less about the news and just wait to see how the market reacts to the news. And if your a indicator base trader you need to ask yourself how long have i been using this set up. In most cases indicator base traders like to change there indicators like a child with ADD.

So I guess what I'm trying to say or suggest is to keep it simple. Put the thousand of hours in on a core method (Traders Identity that fits your personality). Try your best to not change up your foundation once you found a method of trading that fits your brain. Then put the thousands of hours of blue collar work in.

Hope this helps
Mindless

Reply With Quote
The following 10 users say Thank You to Mindless for this post:
 
(login for full post details)
  #147 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received

I must admit that I did not like the title of this book. There are many authors around that have fed on the hype following the financial crisis without contributing a lot.

I finally bought this book, and I do not regret. It is a well researched story of the history of hedge funds. It accurately tracks the fate of famous traders and their funds, explains their trading styles, the great success stories and the great failures.

The author is a former board member of the Washington Post, was the International Finance Correspondant for The Economist and currently works for the Council On Foreign Relations (CFR), where he holds the position of the Director of the M.R. Greenberg Center for Geoeconomic Studies.

The book is extremely well researched, as the author has conducted around 150 interviews with traders and other members of the financial community. The cited sources alone cover 55 pages.

In a way the book can be compared to Jack Schwager's Market Wizards, but with a lesser focus on the personal histories of the traders. By contrast it gives a far better overview of the evolution of the financial markets, which provided the context for the different trading strategies during the last 30 years.

I enjoyed reading the book.

Sebastian Mallaby - More Money Than God: Hedge Funds and the Making of a New Elite


Reply With Quote
The following 4 users say Thank You to Fat Tails for this post:
 
(login for full post details)
  #148 (permalink)
Milan (I)
 
Experience: Advanced
Platform: Ninjatrader
Broker: Kinetick
Trading: FDAX,6E,CL,YM,NQ,ES
 
redratsal's Avatar
 
Posts: 1,653 since Oct 2010
Thanks: 1,215 given, 2,080 received



First published in 1923 the true story of Jesse Livermore where he made and lost several fortunes.

In a age made of supercomputers, high tech procedures, indies and algorythms this book is still actual and reminds us that the rules and the psychology of the game are still the same.

I don't know if it's been mentioned before, I found it simply incredible.


LOL I just found out that's the first post adviced by BM, happy coincidence The book should be free of copyright you can read it at https://www.trading-naked.com/library/jesse_livermore.pdf

Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to redratsal for this post:
 
(login for full post details)
  #149 (permalink)
Clerkenwell, London
 
Experience: Intermediate
Platform: NinjaTrader
Broker: Mirus Futures/Zen-Fire
Trading: 6E
 
martifc's Avatar
 
Posts: 59 since Dec 2010
Thanks: 16 given, 26 received


Mindless View Post

First of all. Please forgive my lack of strength in the writing department. That is possibly why I don't post much.

From my own experience: I know that you can only reach intuitive trading after you have truly accept the fact that losing trades are a normal everyday part of a traders life. And once you embrace losing you start to free yourself of all the distractions that come from trading with extreme emotional swings. A great example of traders not embracing losing is the constant search for the holy grail.

My own opinion of myself is that I am no expert of trading. Even though I have been making a living as a trader for close to 20 years. That mindset keeps my mind open to the big picture or high probable moves that the market may be making.

So back to the book. In the book the author uses real traders. to help you understand the different levels of intuition. For example one trader informs that he believes that intuition is only achieved after you have put in the thousand of hours of studying and applying with real $ your trading method. My take on that. Is after the repetition of using your method time and time again. You will have moments of clarity, and putting a trade on without hesitation. Like peddling your bike down the street.

And from my own opinion. I feel you can take it a little further by figuring out your core mythology. Are you leaning towards automated assist trading or discretionary. Are you a price-action trader or indicator base. Do you like using the info from the news and fundamentals (economic or business) to make decisions. Or do care less about the news and just wait to see how the market reacts to the news. And if your a indicator base trader you need to ask yourself how long have i been using this set up. In most cases indicator base traders like to change there indicators like a child with ADD.

So I guess what I'm trying to say or suggest is to keep it simple. Put the thousand of hours in on a core method (Traders Identity that fits your personality). Try your best to not change up your foundation once you found a method of trading that fits your brain. Then put the thousands of hours of blue collar work in.

Hope this helps
Mindless

+1. I couldn't agree more with your thoughts above.

I think people become obsessed with indicators because they treat it as an intellectual challenge - searching for a holy grail (modern day alchemy) is futile and can lead to a poor trading mindset.

I picked up an old copy of the book on eBay and will look forward to reading it.

Please post more often!

Reply With Quote
The following 2 users say Thank You to martifc for this post:
 
(login for full post details)
  #150 (permalink)
Neubrandenburg, Germany
 
Experience: Advanced
Platform: R
Trading: Stocks
 
wh's Avatar
 
Posts: 538 since Jun 2009
Thanks: 298 given, 503 received

A good book i have read


Causality is the relationship between an event (the cause) and a second event (the effect), where the second event is a consequence of the first.
Reply With Quote
 
(login for full post details)
  #151 (permalink)
Italy (IT)
 
Experience: Advanced
Platform: ATAS, R|Trader, NT8
Broker: Rithmic
Trading: CL, Brent, GC, TF
 
LukeGeniol's Avatar
 
Posts: 1,501 since Apr 2010
Thanks: 408 given, 984 received

https://www.amazon.com/All-About-High-Frequency-Trading/dp/0071743448

Pretty informative about the BIG TRADERS there are in the markets, Investors, Market Makers, Predictors, HTFs, with more focus on this last, and their main strategies.

P.s. Is not a practical guide.

Take your Pips, go out and Live.
Luke.
Reply With Quote
The following 2 users say Thank You to LukeGeniol for this post:
 
(login for full post details)
  #152 (permalink)
Simi Valley, CA
 
 
Posts: 7 since Feb 2011
Thanks: 2 given, 1 received

Thanks for all the recommendations! Has anyone read any of John Carter's books specifically this one?

Amazon.com: Mastering the Trade: Proven Techniques for Profiting from Intraday and Swing Trading Setups (McGraw-Hill Trader's Edge Series) (9780071459587): John F. Carter: Books

Reply With Quote
 
(login for full post details)
  #153 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received



I have read it some years ago. It is a good introduction to some basic trading concepts and also discloses a number of reasonable setups. Do not expect to make money by applying those setups right away.

Reply With Quote
The following user says Thank You to Fat Tails for this post:
 
(login for full post details)
  #154 (permalink)
United states
 
 
Posts: 19 since Mar 2011
Thanks: 1 given, 2 received

How to start trading ?
what are pre-requites for trading ?
Regards

Reply With Quote
 
(login for full post details)
  #155 (permalink)
Salvador, Brazil
 
 
Posts: 16 since Mar 2011

unfortunately I can see only two books on your thread

some of the best books I know about trading:

All Books from Joe Ross ( Trading is a Business, ect....)
All books from Mark Douglas and Ari Kiev about Psychology

there is a German book also great:

Das grosse Buch der Markttechnik from Michael Voigt

best wishes

Reply With Quote
 
(login for full post details)
  #156 (permalink)
CPH
 
 
Posts: 5 since Feb 2011
Thanks: 3 given, 0 received

This one is good: "Mechanical Trading Systems - Pairing Trader Psychology with Technical Analysis"


Reply With Quote
 
(login for full post details)
  #157 (permalink)
CPH
 
 
Posts: 5 since Feb 2011
Thanks: 3 given, 0 received

I forgot the author: Richard L. Weissman

Reply With Quote
 
(login for full post details)
  #158 (permalink)
NYC
 
 
Posts: 187 since Dec 2010


martifc View Post
I'm reading this at the moment and it's great.

Chapter 1 starts with...

Totally agree, Beat The Forex Dealer is a fantastic book, doesn't really matter if you have no interest in FX or not. Agustin Silvani has a sick track record if you look him up. He clearly doesn't need the money from the book and probably wrote it as an homage to Ed Thorp.


Trading Regime Analysis by Murray Gun is worth the price of admission although alot of the book is about TA that just seems to be page filler.

Reply With Quote
 
(login for full post details)
  #159 (permalink)
NYC
 
 
Posts: 187 since Dec 2010

Actually, I was going to start a blog in the fall..made a few post then got bored..here is the trading book one to go with above.

I recently got my hands on Trading Regime Analysis by Murray Gunn..I remember when this book came out I was excited until I caught the subtitle of "the probability of volatility" which sounded like a ham handed way to try to sound "scientific"...This book though I guess is better than what I thought it was going to be but that is not saying much.
440 pages...from page 80-240 you have basically rehashed technical analysis crap that is a part of every other retail trading book. The author states clearly this is not a quant finance book then sticks in interview in on Markov chains on page 240..I'm not sure what the point of that chapter is although I guess it is always good to wet peoples appetites as far as what other methods are out there.
There are basically 40 pages of this book that are interesting/new to a retail trader which comprises part 3 of the book. The remainder of the book is simply filler because people will not purchase a 40 page book.
I do believe this is an important book historically though as I think it brings an end to the retail trading publishing business. 40 pages of information that could probably be condensed to 20 pages then 400 pages of filler...This is the state of books directed at retail traders, there simply is nothing more to say on the subject as any new research past 1990 involves the formalized language of mathematical finance.
I would imagine future good trading books will look much more like the second book by Sinclair..
Sinclair is a respected poster on the nuclearphynance forum(egghead rocket scientist according to Gunn).
224 pages and not a single wasted word...equations presented to formalize things but also much discussions as to the "how" and "why" by someone who has clearly grinded alot of ticks himself.
It is interesting to think about how every year trading moves farther and farther away from what the know nothing is thinking when seeing a scottrade commercial or some insidious retail algo platform bullshit on cnbc or whatnot..
-------------------

I'm a little more positive on the book now then when I wrote that.


Reply With Quote
 
(login for full post details)
  #160 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


dutchbookmaker View Post
I would imagine future good trading books will look much more like the second book by Sinclair..
Sinclair is a respected poster on the nuclearphynance forum(egghead rocket scientist according to Gunn).
224 pages and not a single wasted word...equations presented to formalize things but also much discussions as to the "how" and "why" by someone who has clearly grinded alot of ticks himself.
It is interesting to think about how every year trading moves farther and farther away from what the know nothing is thinking when seeing a scottrade commercial or some insidious retail algo platform bullshit on cnbc or whatnot..
-------------------
[/LEFT]

I have that book by Euan Sinclair, I do not know the other one.

What you forgot to say about the Sinclair book, is that it is heavily making use of advanced mathematics. Some of the formulae used are not well explained, so you may catch some of the ideas, but will not be able to apply the stuff.

Let us say I am making rather slow progress reading it.

Reply With Quote
 
(login for full post details)
  #161 (permalink)
Neubrandenburg, Germany
 
Experience: Advanced
Platform: R
Trading: Stocks
 
wh's Avatar
 
Posts: 538 since Jun 2009
Thanks: 298 given, 503 received

Not a trading book, but a really good book about decisions in our life ...
More infos you find on amazon ...


Causality is the relationship between an event (the cause) and a second event (the effect), where the second event is a consequence of the first.
Reply With Quote
The following 2 users say Thank You to wh for this post:
 
(login for full post details)
  #162 (permalink)
Neubrandenburg, Germany
 
Experience: Advanced
Platform: R
Trading: Stocks
 
wh's Avatar
 
Posts: 538 since Jun 2009
Thanks: 298 given, 503 received

After "How we decide", here is my new book




Quoting 
In the late 1980s, psychologist Paul Andreassen ran a series of remarkable studies in which he set up an
artificial stock market in his laboratories at Columbia and Harvard. He showed the level of stock prices to
one group of investors; another group could view only the change in stock prices. Depending on how
much the stocks fluctuated, investors who focused on price levels earned between five and ten times
higher profits
than those who paid attention to price changes. That's because the investors who fixated on
price changes traded too much, trying to shave profits off the interim fluctuations, while those who paid
attention to price levels were more content to hold on for the long haul.


Causality is the relationship between an event (the cause) and a second event (the effect), where the second event is a consequence of the first.
Reply With Quote
The following 2 users say Thank You to wh for this post:
 
(login for full post details)
  #163 (permalink)
UK London
 
Experience: None
Platform: NT and XTrader
Trading: Tomorrow
 
Posts: 1,419 since Sep 2009
Thanks: 1,372 given, 1,596 received

Can't remember how many years ago I bought these.
Still enjoy McCall's book for a "guide to Samurai Courage, Confidence and Discipline."
and Bach's for the occasional reminder when I forget about perspective.(lol)

Attached Thumbnails
Click image for larger version

Name:	TheWayOfTheWarriorTrader.jpg
Views:	70
Size:	19.7 KB
ID:	35513   Click image for larger version

Name:	llusions_Richard Bach.jpg
Views:	63
Size:	19.9 KB
ID:	35515  
Reply With Quote
 
(login for full post details)
  #164 (permalink)
Auckland
 
Experience: Advanced
Platform: Ninja Trader
Broker: Zen-Fire
Trading: CL and ES
 
Posts: 764 since Apr 2010
Thanks: 3,793 given, 735 received

Here is another one

Amazon.com: Trade Like Warren Buffett (Wiley Trading) (0723812668625): James Altucher: Books

sharmas

Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #165 (permalink)
Auckland
 
Experience: Advanced
Platform: Ninja Trader
Broker: Zen-Fire
Trading: CL and ES
 
Posts: 764 since Apr 2010
Thanks: 3,793 given, 735 received

and another good one

Amazon.com: J. Christoph Amberger's Hot Trading Secrets: How to Get In and Out of the Market with Huge Gains in Any Climate (9780471738725): J. Christoph Amberger: Books

Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #166 (permalink)
Vendor
 
 
mattz's Avatar
 
Posts: 2,487 since Sep 2010
Thanks: 2,421 given, 3,749 received

Well respected guy:Ari Kiev Biography | Ari Kiev Psychiatrist | books by ari kiev
I did not see his mention..he was recommended by Brett Steenbarger in his books.

Trading futures and options involves substantial risk of loss and is not suitable for all investors. Past performance is not necessarily indicative of future results. You may lose more than your initial investment. All posts are opinions and do not claim to be facts. Please conduct your own due diligence. Use only Risk capital when trading Futures.
1 800 771 6748 local 561 367 8686 email support@OptimusFutures.com
Reply With Quote
The following 2 users say Thank You to mattz for this post:
 
(login for full post details)
  #167 (permalink)
Legendary Market Wizard
Cancun, Mexico
 
Experience: Advanced
Trading: Stock Index Futures / CFDs
 
Anagami's Avatar
 
Posts: 863 since Dec 2010
Thanks: 603 given, 1,949 received


"The mind is its own place, and in itself can make a heaven of hell, a hell of heaven." - Milton
Reply With Quote
 
(login for full post details)
  #168 (permalink)
Edmonton, Canada
 
 
Posts: 187 since Apr 2011
Thanks: 12 given, 162 received

The OP creates a good sticky. I went through the first 8 pages and did not see the book I wanted to post, so here it is:

Fibonacci Analysis - by Constance Brown
Published by: Bloomberg Market Essentials

The other thing I would add here is that I am not an avid reader of books on trading, unless I can find a good technical reason (or, reasons) for why the book adds to my level of positive expectancy. I've scanned a ton of books on trading in the bookstores - probably reading the first 1-3 chapters before putting the back back on the stand (many hours spent in bookstores). Ironically, I have discovered that books having nothing to do with trading, have been the most helpful of all (mathematics and/or physics).

The essential idea is not to attempt to directly apply physical laws to the financially traded markets, but to force the trader's mind outside of normal boundaries that all too often stifle creative thinking and problem solving. So, I might be reading the book: Philosophy and The New Physics - by Louis Rougier , and encounter a discussion on the "structure of energy," that sparks a new idea within the current set of research I find myself engaged with. Good ideas for augmenting a current indicator, or creating an entirely new class of indicators, have come through this process.

So, I would stress the importance of getting "outside the box" of trading long enough to receive input from other structured sources - namely those disciplines involving other technical sciences, either at a conceptual (non-mathematical), or detailed (mathematics) level. The idea is to stretch the imagination to include problem solving thoughts that do not exist within the typical traders locker room.

Reply With Quote
 
(login for full post details)
  #169 (permalink)
San Diego, California
 
Experience: Intermediate
Platform: Sierra Chart
Broker: IB, OEC, Optimus, DDT
Trading: ES, ZN
 
Posts: 221 since Jun 2010
Thanks: 512 given, 158 received


JetTrader View Post
The OP creates a good sticky. I went through the first 8 pages and did not see the book I wanted to post, so here it is:

Fibonacci Analysis - by Constance Brown
Published by: Bloomberg Market Essentials

The other thing I would add here is that I am not an avid reader of books on trading, unless I can find a good technical reason (or, reasons) for why the book adds to my level of positive expectancy. I've scanned a ton of books on trading in the bookstores - probably reading the first 1-3 chapters before putting the back back on the stand (many hours spent in bookstores). Ironically, I have discovered that books having nothing to do with trading, have been the most helpful of all (mathematics and/or physics).

The essential idea is not to attempt to directly apply physical laws to the financially traded markets, but to force the trader's mind outside of normal boundaries that all too often stifle creative thinking and problem solving. So, I might be reading the book: Philosophy and The New Physics - by Louis Rougier , and encounter a discussion on the "structure of energy," that sparks a new idea within the current set of research I find myself engaged with. Good ideas for augmenting a current indicator, or creating an entirely new class of indicators, have come through this process.

So, I would stress the importance of getting "outside the box" of trading long enough to receive input from other structured sources - namely those disciplines involving other technical sciences, either at a conceptual (non-mathematical), or detailed (mathematics) level. The idea is to stretch the imagination to include problem solving thoughts that do not exist within the typical traders locker room.

Jet, can the Fibonacci technique described in the book be applied to intraday charts, e.g. 5 min chart? What kind of math level is required to be able to understand this book? Thanks,

Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #170 (permalink)
Legendary Market Wizard
Cancun, Mexico
 
Experience: Advanced
Trading: Stock Index Futures / CFDs
 
Anagami's Avatar
 
Posts: 863 since Dec 2010
Thanks: 603 given, 1,949 received


omaha786 View Post
Jet, can the Fibonacci technique described in the book be applied to intraday charts, e.g. 5 min chart? What kind of math level is required to be able to understand this book? Thanks,

Found the book not particularly well written.... but useful in lot of respects (confluences zones...etc.).

You don't need any special math for that.

"The mind is its own place, and in itself can make a heaven of hell, a hell of heaven." - Milton
Reply With Quote
The following user says Thank You to Anagami for this post:
 
(login for full post details)
  #171 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


omaha786 View Post
Jet, can the Fibonacci technique described in the book be applied to intraday charts, e.g. 5 min chart? What kind of math level is required to be able to understand this book? Thanks,

I have read four books on Fibonacci Analysis. The book by Constance Brown is the most difficult to understand. She has a peculiar way to draw her levels from mysterious starting points, which I really had a hard time to understand.

In my personal opinion, anyone should start with the book of Robert C.Miner (listed below). It is comprehensive., complete and I recommend it. the easiest to read is the book by Larry Pesavento, as it focuses on a couple of harmonic patterns.

Robert C. Miner: High Probability Trading Strategies - my personal favorite, well structured and complete
Larry Pesavento, Leslie Jouflas: Trade What You See - the easiest to read with many sexy charts
Carolyn Boroden: Fibonacci Trading: comparable with the book of Robert C.Miner, but not as good
Constance Brown: Fibonacci Analysis - worth reading, but difficult to understand

Fibonacci Analysis can be applied intraday. There is a number of free indicators available, you can try the anaCurrentDayOHL, which draws Fibonacci retracements from the current day's high and low (look for SessionPivots).

Reply With Quote
The following 2 users say Thank You to Fat Tails for this post:
 
(login for full post details)
  #172 (permalink)
Edmonton, Canada
 
 
Posts: 187 since Apr 2011
Thanks: 12 given, 162 received


omaha786 View Post
Jet, can the Fibonacci technique described in the book be applied to intraday charts, e.g. 5 min chart? What kind of math level is required to be able to understand this book? Thanks,

No math necessary for Constance, other than the basic math we all learned in Elementary, really. Fibs are nothing more than derivations through addition, multiplication, subtraction and division. She stresses the need to understand the distinction between Proportion and Ratio, which some people do confuse often times. She also talks briefly about the need to know the different kinds of averages, with most of her emphasis on Mode, Mean, Geometric and Harmonic. But, your Fib Tool will do most of the work for you on the chart.

Fibs can be applied to just about any chart. Some people say that the accuracy goes up when used on larger time-frames. I believe the accuracy goes up when the trade learns to initiate the retracement range correctly, by knowing the six (6) different market behavioral patterns and why merely dropping the Fib Tool on a Swing High, or a Swing Low, might not always be the optimal location for the start of the range. Constance, covers all that pretty well.

Using what Constance explains, you could take a 1 minute chart and a Fib Tool, to pick-off 5-7 pips per trade on most days. On average, 10 trades should net you more than 50 pips a day. Its a grind doing it that way and it will take several hours to complete, but there are lots of people out there who make a lot less money working the same eight hours a day doing other things. Basically, you are using a 1 minute chart, but typically plotting Fib ranges across 15 minutes up to 1 hour. There is a lot of useful detail that takes place on the M1 chart that many people overlook. If you get good at observing them, you can see the contours and details of false Double-Bottom/Top moves, which helps in identifying larger time-frame Double-Bottom/Top moves that are genuine. You really get to know the character (attitude, disposition, personality, mode) of a currency pair by spending a lot of time with its M1 time-frame.

That's not how I trade, but I'm just giving an example of what can be done when you start using the correct starting point for the Fibo range.

Reply With Quote
 
(login for full post details)
  #173 (permalink)
Edmonton, Canada
 
 
Posts: 187 since Apr 2011
Thanks: 12 given, 162 received


Fat Tails View Post
I have read four books on Fibonacci Analysis. The book by Constance Brown is the most difficult to understand. She has a peculiar way to draw her levels from mysterious starting points, which I really had a hard time to understand.

She can be difficult at times, if you lose focus. She's a smart Woman with a lot of knowledge and she seems to want to take the reader on a journey of discovery, which brings into play her knowledge and understanding about the source and origins of the Golden Ratio. You get a pretty good understanding of why the Fibonacci Sequence and the Derived Ratios are important to history, not just to trading. You also get an understanding of some of the renowned mathematicians who used them long before there were markets to trade, as well as how Leonardo Fibonacci, was not the actual father of the Fibonacci Sequence, but was actually given credit for its discovery.

On of the most important aspects of her book, is early on when she walks you through an example of the sequence using the Nautilus Shell, under-imposed against "perfect" spiraling model with ever expanding squares that we've all seen. The comparison to those two images together, with the distinctions between an Expanding and Contracting market, is something that she makes you understand as being something critically important to learning how to properly use your Fib Tool. She makes it clear that for this reason, you cannot always use just the Swing High or the Swing Low, as the starting point for the Fibonacci range. She goes as far as to call this a critical error, for the average trader to make - who then wonders why Fibonacci Analysis in trading "does not work."

And, it makes all the sense in the world the way she explains it. If you are plotting a standard Fibo range into an Expanding or Contracting market, then taking the nearest Swing High or Swing Low, will yield incorrect retracement levels. So, you have to know where to begin the range for both the Expanding and the Contracting market phases, in order to derive the optimal confluence zones. This is one of the very first things she talks about and she goes a long way to explaining why this is so important to nail down.

We've probably all been guilty at one point or another, of plotting Fibonacci ranges incorrectly. Some of us, for a very long time. So, she also makes it clear that for some, there will be a need to re-learn what we learned incorrectly. Markets are not static - they are dynamic by nature. Always in a constant state of flux, either moving into Contraction from Expansion, or into Expansion from Contraction, with phases of Horizontal transitions to both. So, where you initialize the Fibo range, becomes of paramount importance. Most importantly, Constance, shows you how to determine whether the market you are following is in a Contraction phase, or an Expansion phase. If neither, then it must be a Horizontal transition - and that is the ONLY time you should use the absolute Swing High, or the absolute Swing Low. At all other times, you have to use a different technique for locating the optimal initialization level for the Fib range. Else, you will always see Fibonacci ratios as being hardly any better a technical tool than anything else.

Anyway, hope this helps.

Reply With Quote
 
(login for full post details)
  #174 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received

@JetTrader

As I said, I have read a number of books and I do not share your opinion on the book by Constance Brown. I think that different views on a subject are legitimate and that the disagreement can even be further exploited to release further energy (and increase entropy).

The Fibonacci Series is a growth series, the golden ratio describes the ratio of two consecutive generations (of rabbits, pineapple seeds, calcium deposits in a nautilus shell, etc.). So the concept can be used to describe a two-dimensional expansion, which relies on internal feedback.

Adapting these ratios to expansion would mean that you no longer describe expansion, but an expansion within an expansion, as the scale that you relate to is now changed. This is not in line with the origin of the Fibonacci ratio, but really is contradiction, as Fibonacci ratios describe growth and not the growth of the growth. Also I do not share the opinion of Constance Brown that Fibonacci ratios do not work when applied to the absolute highs and lows. I think that her definitions are fuzzy, as you select the appropriate starting point for retracements and expansions with hindsight. Everything she writes is influenced by a religious belief that there must be a hidden order, where there is none. in my opinion, the book is a blend of practical knowledge on how to use Fibonacci ratios with some pseudo-scientific verbiage added.

For me, a statement like "Harmonic Unity Within Market Price and Time" is simply nonsense. But again, I respect different views on this subject. Maybe we can continue to discuss it further in one of the harmonic trading or Fibonacci threads, as it does not belong here.

Attachment: Fibonacci zones, counted from the top and bottom.

Attached Thumbnails
Click image for larger version

Name:	Counted from the Tops.jpg
Views:	149
Size:	117.7 KB
ID:	36141  
Reply With Quote
The following 2 users say Thank You to Fat Tails for this post:
 
(login for full post details)
  #175 (permalink)
kuala lumpur, Malaysia
 
Experience: Intermediate
Platform: Python
Broker: Oanda,IB,Lmax
Trading: FOREX
 
kami's Avatar
 
Posts: 31 since Mar 2011
Thanks: 13 given, 10 received


Big Mike View Post
Here is a short list of books I've read and recommend. I am not a big reader of books in print, I tend to prefer on-line methods... but nonetheless, these are great reads and contain a lot of information that helped me.


My favorite to read, and the one where I tended to relate the most, was Martin Schwartz's "Pit Bull". The other books are on every trader's "must have" list, so if you haven't read them already, then do yourself a favor and pick them up. The last one is a compilation of chart patterns and how to trade them by Suri Duddella, it is a fantastic reference to understand what is going on behind your favorite indicators.

Mike

100% agree with you BM ... Trade Chart Patterns Like the Pros book is a must for a trader ..

Reply With Quote
 
(login for full post details)
  #176 (permalink)
 
 
Posts: 1,081 since May 2010

Ok guys, here you have it. The book that started it all for me, the way to profitability. I never looked back since:

Empirical Market Microstructure: The Instituions, Economics, and Econometrics of Securities Trading by Joel Hasbrouck.




And also :

Market Microstructure Theory by O'Hara

Reply With Quote
 
(login for full post details)
  #177 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


MetalTrade View Post
Ok guys, here you have it. The book that started it all for me, the way to profitability. I never looked back since:

Empirical Market Microstructure: The Instituions, Economics, and Econometrics of Securities Trading by Joel Hasbrouck.

I also like the book by Joel Hasbrouck.

As per post # 105 of this thread, I also recommend the book by Barry Johnson on Algorithmic Trading and DMA.

Amazon.com: Algorithmic Trading and DMA: An introduction to direct access trading strategies (9780956399205): Barry Johnson: Books


Reply With Quote
 
(login for full post details)
  #178 (permalink)
Oslo, Norway
 
Experience: Advanced
Platform: CQG, Excel
Trading: CL
 
Lornz's Avatar
 
Posts: 1,198 since Apr 2010

Jesse Livermore - How To Trade In Stocks.

Be sure you get the original from 1940 (there are pdfs floating around), not the edition ruined by Smitten. It's short, but contains profound trading wisdom.

Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #179 (permalink)
USA
 
Experience: Beginner
Platform: NinjaTrader
 
Posts: 26 since Jul 2009
Thanks: 4 given, 17 received


MetalTrade View Post
Ok guys, here you have it. The book that started it all for me, the way to profitability. I never looked back since:

Empirical Market Microstructure: The Instituions, Economics, and Econometrics of Securities Trading by Joel Hasbrouck.

And also :

Market Microstructure Theory by O'Hara

Can your elaborate a little on what you learned from these books, they look too academically theoretical.
Thx.

Reply With Quote
 
(login for full post details)
  #180 (permalink)
Edmonton, Canada
 
 
Posts: 187 since Apr 2011
Thanks: 12 given, 162 received


Fat Tails View Post
@JetTrader

As I said, I have read a number of books and I do not share your opinion on the book by Constance Brown. I think that different views on a subject are legitimate and that the disagreement can even be further exploited to release further energy (and increase entropy).

The Fibonacci Series is a growth series, the golden ratio describes the ratio of two consecutive generations (of rabbits, pineapple seeds, calcium deposits in a nautilus shell, etc.). So the concept can be used to describe a two-dimensional expansion, which relies on internal feedback.

Adapting these ratios to expansion would mean that you no longer describe expansion, but an expansion within an expansion, as the scale that you relate to is now changed. This is not in line with the origin of the Fibonacci ratio, but really is contradiction, as Fibonacci ratios describe growth and not the growth of the growth. Also I do not share the opinion of Constance Brown that Fibonacci ratios do not work when applied to the absolute highs and lows. I think that her definitions are fuzzy, as you select the appropriate starting point for retracements and expansions with hindsight. Everything she writes is influenced by a religious belief that there must be a hidden order, where there is none. in my opinion, the book is a blend of practical knowledge on how to use Fibonacci ratios with some pseudo-scientific verbiage added.

For me, a statement like "Harmonic Unity Within Market Price and Time" is simply nonsense. But again, I respect different views on this subject. Maybe we can continue to discuss it further in one of the harmonic trading or Fibonacci threads, as it does not belong here.

Attachment: Fibonacci zones, counted from the top and bottom.

I have placed my response to this in the Harmonic section of the forum, where it is better positioned.

Reply With Quote
 
(login for full post details)
  #181 (permalink)
Chicago, Illinois
 
Experience: Intermediate
Platform: Tradingview
Broker: ThinkOrSwim
Trading: Forex, Stock & Options
 
Bermudan Option's Avatar
 
Posts: 551 since May 2011
Thanks: 586 given, 343 received

Sources of Power is the one gem that I think no one has touched on here. The author looks at people who have stressful jobs and how they become quicker and quicker at problem solving and rational thought processes in highly emotional times. The case studies are great, like soldiers, EMTs, firefighters, etc. Looks at pattern recognition from a non-trading perspective that easily transfers over to trading.

Attached Thumbnails
Click image for larger version

Name:	sources of power.bmp
Views:	85
Size:	79.8 KB
ID:	41648  
Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to Bermudan Option for this post:
 
(login for full post details)
  #182 (permalink)
cork county
 
Experience: Intermediate
Platform: Ninjatrader / metatrader
Broker: Ninjatrader
Trading: Coffee with sugar
 
traderbaker's Avatar
 
Posts: 28 since Mar 2011
Thanks: 113 given, 17 received

A few books i have found to be helpfull were

Tony Oz - The stock trader ( where he makes trades for a month and shows trade charts for both losses and profits )
Tony Oz - How to Take Money from Wall Street
alexander elder- trading for a living
Toni Turner - a beginers guide to daytrading online
Mark Douglas - trading in the zone
Currently reading Daily trading coach by Brett steenberger - its good so far

Reply With Quote
The following user says Thank You to traderbaker for this post:
 
(login for full post details)
  #183 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,339 since Jun 2009
Thanks: 32,016 given, 96,540 received


traderbaker View Post
Currently reading Daily trading coach by Brett steenberger - its good so far

One of the best trading books, in my opinion. I like all of Dr. Brett's work.

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #184 (permalink)
Fort Lauderdale, Florida. USA
 
Experience: Beginner
Platform: NT
Broker: CQG
Trading: YM,CL
 
rainbowchaser's Avatar
 
Posts: 140 since Mar 2011
Thanks: 527 given, 63 received


Big Mike View Post
Hi Alan,

I am reading this book right now. So far I am enjoying it. I sought a book specifically dealing with Money Management and Psychology, and this book is hitting on that perfectly.

Mike

how is the link to the book you mention to be seen? I clik on it but does not load any image.
Regards and happy sunday

Reply With Quote
 
(login for full post details)
  #185 (permalink)
Los Angeles
 
Experience: Beginner
Platform: SC, MT,
Broker: Forex
Trading: Forex
 
Poocher's Avatar
 
Posts: 303 since Jun 2009
Thanks: 361 given, 109 received

They aren't links Rainbowchaser. Just Google the Title or the author and you'll find the book.

Reply With Quote
The following user says Thank You to Poocher for this post:
 
(login for full post details)
  #186 (permalink)
Orlando, Florida
 
Experience: None
Platform: shoes
Trading: happy
 
GaryD's Avatar
 
Posts: 6,462 since May 2011

Favorite book for being an easy read and focusing on psychology; SuperTrader by Van Tharp.

Favorite book, a difficult read, but distills technicals; High Probability Trading Strategies by Robert Miner


I enjoyed the story of Reminiscences..., but possibly not the best role model

Favorite trader interviews; Ed Seykota - various sources

Reply With Quote
 
(login for full post details)
  #187 (permalink)
NY, USA
 
Experience: Intermediate
Platform: NT/IB TWS
Broker: IB
Trading: ES
 
Posts: 951 since Sep 2009
Thanks: 813 given, 444 received

since many people pick 'alexander elder- trading for a living', my question is why it is good? I think it's more about trend following. Did you guys make money based on his methods?

thanks.

Reply With Quote
 
(login for full post details)
  #188 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


jz166 View Post
since many people pick 'alexander elder- trading for a living', my question is why it is good? I think it's more about trend following. Did you guys make money based on his methods?

thanks.

It is an introduction. and contains very basic stuff for beginners. Dr. Elder is a psychologist, which helps. Every experienced trader will tell you that psychology is more important than mathematics. The book starts with psychology, before it deals with charting.

The trading method of Dr. Elder is essentially based on two indicators, the MACD and the force index, which are monitored in three different time frames. It is a very good book, if you know little about trading.

Reply With Quote
The following user says Thank You to Fat Tails for this post:
 
(login for full post details)
  #189 (permalink)
California
 
Experience: Intermediate
Platform: NT
Trading: Index Futures
 
Haverchuck's Avatar
 
Posts: 105 since Jul 2009
Thanks: 76 given, 83 received

Here are a few psychology-related books not written specifically for trading, but still potentially helpful for discretionary traders:

Change: Principles of Problem Formation and Problem Resolution -- Paul Watzlawick

Strangers to Ourselves: Discovering the Adaptive Unconscious -- Timothy D. Wilson

The Inner Game of Tennis: The Classic Guide to the Mental Side of Peak Performance -- W. Timothy Gallwey

Reply With Quote
The following 2 users say Thank You to Haverchuck for this post:
 
(login for full post details)
  #190 (permalink)
france
 
Experience: Beginner
Platform: nt
 
mea109's Avatar
 
Posts: 201 since Oct 2009
Thanks: 1,776 given, 56 received


Fat Tails View Post
I have read four books on Fibonacci Analysis. The book by Constance Brown is the most difficult to understand. She has a peculiar way to draw her levels from mysterious starting points, which I really had a hard time to understand.

In my personal opinion, anyone should start with the book of Robert C.Miner (listed below). It is comprehensive., complete and I recommend it. the easiest to read is the book by Larry Pesavento, as it focuses on a couple of harmonic patterns.

Robert C. Miner: High Probability Trading Strategies - my personal favorite, well structured and complete
Larry Pesavento, Leslie Jouflas: Trade What You See - the easiest to read with many sexy charts
Carolyn Boroden: Fibonacci Trading: comparable with the book of Robert C.Miner, but not as good
Constance Brown: Fibonacci Analysis - worth reading, but difficult to understand

Fibonacci Analysis can be applied intraday. There is a number of free indicators available, you can try the anaCurrentDayOHL, which draws Fibonacci retracements from the current day's high and low (look for SessionPivots).

Did anyone read this one ?
Amazon.com: The Gartley Trading Method: New Techniques To Profit from the Markets Most Powerful Formation (Wiley Trading) (9780470583548): Ross L. Beck: Books

...and how does it compare with above mentionned ?

Reply With Quote
 
(login for full post details)
  #191 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received



This book is not an introduction to trading, but has the focus on one of the geometrical pattern. I would not mention Gartley pattern without relating them to ABCD pattern (measured moves) and to butterfly pattern. I think that this book is

-> not for beginners
-> not exhaustive
-> overpriced

If you look for an easy-to-read introduction to harmonic pattern, I would rather recommend the book by Larry Pesavento: Trade What You See.

It contains more information and is even cheaper.

Reply With Quote
The following 2 users say Thank You to Fat Tails for this post:
 
(login for full post details)
  #192 (permalink)
Russia, St.Petersburg
 
Experience: Advanced
Platform: NinjaTrader, CQG Desktop
Broker: NinjaTrader/CQG
Trading: Futures
 
Jonson's Avatar
 
Posts: 246 since Jan 2011
Thanks: 212 given, 115 received

Stop and Make Money: How To Profit in the Stock Market Using Volume and Stop Orders
Richard W. Arms (Author)

Richard Arms is one of the world's most respected stock market technicians. His expertise in this field is unparalleled, and his groundbreaking theories in volume analysis and market forecasting have forever changed the way traders perceive markets. Now, in Stop and Make Money, Arms presents a short-term approach to trading using the technical methods he has pioneered—as well as other established technical tools—over the course of his successful forty-year career.

In a straightforward and accessible style, Arms reveals how to profit from short-term price movements in the stock market—whether you're buying or selling short—by accurately interpreting price/volume information and effectively employing stop orders to enter and exit positions.

Before getting down to details, Arms briefly explores some essential trading examples and explains the advantages of technical analysis. He also prepares you for the journey ahead by offering insights and advice on what you might need to achieve your goals, including charting services, quotations services, a brokerage account, and more. Then, in the chapters that follow, Arms skillfully illustrates the self-developed techniques that have allowed him to manage trades for maximum profits during his many years in the market. Topics discussed include everything from the Equivolume charting system and the Arms Index—also known as TRIN—to Volume Adjusted Moving Averages and Ease of Movement. Along the way, you'll also become familiar with conventional technical tools, such as support and resistance, trendlines, and channels, which fit into Arms's strategy.

While many of the drawbacks to successful trading have been largely eliminated, it still takes knowledge, discipline, and hard work to capture considerable profits. Nobody knows this better than Richard Arms. And with Stop and Make Money, Arms will show you how to observe and anticipate short-term stock market moves in order to improve your overall trading activities.

* If investing gets too difficult for a seventh grader to understand, the system is needlessly complex
* Markets produce an enormous volume of information, much of which is redundant
* In every game and con there's always an opponent, and there's always a victim. The trick is to know when you're the latter, so you can become the former
Reply With Quote
 
(login for full post details)
  #193 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,339 since Jun 2009
Thanks: 32,016 given, 96,540 received


Jonson View Post
Stop and Make Money: How To Profit in the Stock Market Using Volume and Stop Orders
Richard W. Arms (Author)

Richard Arms is one of the world's most respected stock market technicians. His expertise in this field is unparalleled, and his groundbreaking theories in volume analysis and market forecasting have forever changed the way traders perceive markets. Now, in Stop and Make Money, Arms presents a short-term approach to trading using the technical methods he has pioneered—as well as other established technical tools—over the course of his successful forty-year career.

In a straightforward and accessible style, Arms reveals how to profit from short-term price movements in the stock market—whether you're buying or selling short—by accurately interpreting price/volume information and effectively employing stop orders to enter and exit positions.

Before getting down to details, Arms briefly explores some essential trading examples and explains the advantages of technical analysis. He also prepares you for the journey ahead by offering insights and advice on what you might need to achieve your goals, including charting services, quotations services, a brokerage account, and more. Then, in the chapters that follow, Arms skillfully illustrates the self-developed techniques that have allowed him to manage trades for maximum profits during his many years in the market. Topics discussed include everything from the Equivolume charting system and the Arms Index—also known as TRIN—to Volume Adjusted Moving Averages and Ease of Movement. Along the way, you'll also become familiar with conventional technical tools, such as support and resistance, trendlines, and channels, which fit into Arms's strategy.

While many of the drawbacks to successful trading have been largely eliminated, it still takes knowledge, discipline, and hard work to capture considerable profits. Nobody knows this better than Richard Arms. And with Stop and Make Money, Arms will show you how to observe and anticipate short-term stock market moves in order to improve your overall trading activities.

The attachment has been removed as it appears to be a copyrighted commercial book, not donated to the public for free by the author. If you can confirm it is indeed free, let me know and you can re-post it.

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to Big Mike for this post:
 
(login for full post details)
  #194 (permalink)
BOSTON, MA
 
Experience: Advanced
Platform: Tradestation, TOS
Trading: commodities, TF
 
mfbreakout's Avatar
 
Posts: 7,244 since Oct 2010
Thanks: 3,467 given, 15,279 received

No one book can cover all aspects of trading. If someone has basic understanding of trading and wants to learn the method of worlds foremost trading legend then Mark Fisher " The logical trader" is the best.

Forward for the book is written by none other than Paul Tudor Jones and when i read that per Paul Tudor Jones that in his opinion Mark Fisher is the best pit trader ever, that's all i needed to learn everything about Mark Fisher.

There is lot of garbage over the internet in terms of reviews by various wanna be traders about MF method. I ignored every comment and just trusted the advice of Paul Tudor Jones and in my book mark fisher is a trading GENIUS.

Any question about ACD method, I am here to answer them.

Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to mfbreakout for this post:
 
(login for full post details)
  #195 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


mfbreakout View Post
No one book can cover all aspects of trading. If someone has basic understanding of trading and wants to learn the method of worlds foremost trading legend then Mark Fisher " The logical trader" is the best.

Forward for the book is written by none other than Paul Tudor Jones and when i read that per Paul Tudor Jones that in his opinion Mark Fisher is the best pit trader ever, that's all i needed to learn everything about Mark Fisher.

There is lot of garbage over the internet in terms of reviews by various wanna be traders about MF method. I ignored every comment and just trusted the advice of Paul Tudor Jones and in my book mark fisher is a trading GENIUS.

Any question about ACD method, I am here to answer them.

I also like the book of Mark Fisher. There are some interesting elements that I use for my own trading. This includes the pivot range and the rolling pivots. However, I am a bit sceptical about his ACD method of defining the breakout levels. It is an old floor trader concept, which may work, if enough traders watch the same levels. If you are trading physical commodities - in particular energy and metal futures - it should do the job, but for financial futures or FOREX you may find better breakout points by using other statistical methods.

I have not backtested the ACD method. This would be difficult to do as the A and C values change once or twice per year. Also I do not believe in the counting system presented in the book, which is used to predict a bull or bear run for a commodity. To use the ACD system you need to subscribe to Mark Fisher's service, which costs you $$$ per month - or you need to know a subscriber.

Reply With Quote
 
(login for full post details)
  #196 (permalink)
BOSTON, MA
 
Experience: Advanced
Platform: Tradestation, TOS
Trading: commodities, TF
 
mfbreakout's Avatar
 
Posts: 7,244 since Oct 2010
Thanks: 3,467 given, 15,279 received


Fat Tails View Post
I also like the book of Mark Fisher. There are some interesting elements that I use for my own trading. This includes the pivot range and the rolling pivots. However, I am a bit sceptical about his ACD method of defining the breakout levels. It is an old floor trader concept, which may work, if enough traders watch the same levels. If you are trading physical commodities - in particular energy and metal futures - it should do the job, but for financial futures or FOREX you may find better breakout points by using other statistical methods.

I have not backtested the ACD method. This would be difficult to do as the A and C values change once or twice per year. Also I do not believe in the counting system presented in the book, which is used to predict a bull or bear run for a commodity. To use the ACD system you need to subscribe to Mark Fisher's service, which costs you $$$ per month - or you need to know a subscriber.

Good points. By the way I enjoyed your Webinars. Thanks for sharing your knowledge. I was particularly impressed by your Fib. Webinar as I got tired of people telling me all the time that Fib's tells them market direction etc.. You settled that issue for me.

MF himself says that ACD method is not good for forex . I day trade full time crude oil and i can not understand how a retail trader can trade without ACD.

I subscribe to his service and it's $1800/year, daily cost comes to be less than what i pay in trading commission every day.


I would be more than happy to provide you any information you may need from subscription service. I primarily use it for 30 days ACD number line and daily pivot tracker value.

Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #197 (permalink)
BOSTON, MA
 
Experience: Advanced
Platform: Tradestation, TOS
Trading: commodities, TF
 
mfbreakout's Avatar
 
Posts: 7,244 since Oct 2010
Thanks: 3,467 given, 15,279 received


mfbreakout View Post
Good points. By the way I enjoyed your Webinars. Thanks for sharing your knowledge. I was particularly impressed by your Fib. Webinar as I got tired of people telling me all the time that Fib's tells them market direction etc.. You settled that issue for me.

MF himself says that ACD method is not good for forex . I day trade full time crude oil and i can not understand how a retail trader can trade without ACD.

I subscribe to his service and it's $1800/year, daily cost comes to be less than what i pay in trading commission every day.


I would be more than happy to provide you any information you may need from subscription service. I primarily use it for 30 days ACD number line and daily pivot tracker value.

If you talk to one of the traders at MF firm you will realize they have very little knowledge in terms of statistics etc.. What they do have ACD reference points as risk control and ability to step up to the plate when it matters.

Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to mfbreakout for this post:
 
(login for full post details)
  #198 (permalink)
Market Wizard
Berlin, Europe
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
 
Fat Tails's Avatar
 
Posts: 9,850 since Mar 2010
Thanks: 4,238 given, 26,711 received


mfbreakout View Post
If you talk to one of the traders at MF firm you will realize they have very little knowledge in terms of statistics etc.. What they do have ACD reference points as risk control and ability to step up to the plate when it matters.

Let us continue the discussion in the ACD Trading thread, as it does not belong here.

Reply With Quote
The following user says Thank You to Fat Tails for this post:
 
(login for full post details)
  #199 (permalink)
Newark, NJ, USA
 
Experience: Intermediate
Platform: Tradestation
Trading: gold
 
Posts: 1 since Sep 2011
Thanks: 4 given, 0 received

Is this a more concise book than Bulkowski's on Chart Pattern?

Reply With Quote
 
(login for full post details)
  #200 (permalink)
Kampala, Uganda
 
Experience: Intermediate
Platform: TOS
Broker: TOS
Trading: SPX
 
Boomer34's Avatar
 
Posts: 164 since Mar 2011
Thanks: 74 given, 56 received

Hey guys...

I was looking for the highly recommended book "Trade Chart Patterns Like the Pros" by Duddella.

I noticed that it is not on Amazon (they do have a outside seller on their site you can buy from), and seems to not be readily available on the internet. Now I have found places to buy it from...but I was just wondering why it is not readily available? I mean Amazon usually directly sells every known book...

Thoughts?

Follow me on Twitter Reply With Quote


futures io Trading Community Traders Hideout > Some highly recommended books


Last Updated on January 14, 2021


Upcoming Webinars and Events
 

Journal Challenge!

February
 

Battlestations!

March
     



Copyright © 2021 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts