This is the thread about books related for stocks, forex, financial
market and economics. Please make a post about books with possible cover
image, short description and official link to buy (amazon for example).
Posts with links to unofficial resellers will be deleted
Forum on trading, automated trading systems and testing trading strategies
Something Interesting to Read November 2014
Sergey Golubev, 2014.11.19 18:56
by John Boik
From the author of three market books published by McGraw-Hill, Lessons From the
Greatest Stock Traders of All Time was chosen by Barron's as one of the
top 25 Best Books of 2004. A former stockbroker and currently a
financial controller, his second book was released in April 2006 titled
How Legendary Traders Made Millions.
Learn how to generate profit, from history's most celebrated traders including William J. O'Neil, Jesse Livermore, and others.
In How Legendary Traders Made Millions,
award-winning investment author and historian John Boik has created the
first book to put the strategies of history's top traders in one place.
Revealing how each trader took advantage of distinct market situations,
it details the hands-on specifics of each trade as well as the
economic, political, and stock market environments in which the strategy
Something Interesting to Read August 2014
Natasya Saad, 2014.08.10 08:54
Enhancing Trader Performance: Proven Strategies From the Cutting Edge of Trading Psychology
Trading is a performance discipline, and like Olympic athletes, elite
military troops, and performing artists, traders can structure their
development to achieve competence and expertise. Through his own trading
experiences and those of individuals he has mentored, Dr. Brett
Steenbarger is familiar with the challenges thattraders face and the
performance and psychological strategies that can meet those challenges.
his first book, The Psychology of Trading, Dr. Steenbarger provided a
framework for understanding and overcoming the mental obstacles to
successful trading. Now, in Enhancing Trader Performance, he goes a step
further and shows you how to transform talent into trading skill
through a structured process of expertise development.
Straightforward and accessible, this comprehensive guide:
When you enhance your
performance as a trader, you replace a small piece of randomness with
intention. This enables you to make more informed trading decisions as
you make your way through today's dynamic markets. Filled with in-depth
insights, practical advice, solid research, and detailed examples,
Enhancing Trader Performance offers an innovative approach to market
Sergey Golubev, 2016.05.14 18:29
Trading on Sentiment: The Power of Minds Over Markets
"Investor sentiment and analysis of media coverage are new frontiers to explore in understanding stock market gyrations. The news unconsciously affects investor behavior, which in turn moves the stock market. Thus analyzing investor behavior could potentially reap enormous profits, says behavioral finance expert Richard Peterson , a board-certified psychiatrist and CEO of MarketPsych in San Luis Obispo, Calif. Peterson’s new book, Trading on Sentiment: The Power of Minds Over the Markets, explains how to potentially “time turns in the stock market using media sentiment at the bottoms and tops of the business cycle.” The book was published by Wiley Finance in March."
"Peterson’s behavioral finance research firm provides data and consults hedge funds, traders and investment banks on economics, investments and trading strategies. His two other books are MarketPsych: How to Manage Fear and Build Your Investor Identity (Wiley, 2010) and Inside the Investor’s Brain: The Power of Mind Over Money (Wiley, 2007)."
Something Interesting to Read March 2014
Sergey Golubev, 2014.03.26 16:42
Market Risk Analysis, Pricing, Hedging, Trading Financial Instruments (Volume III) : Professor Carol Alexander
Written by leading market risk academic, Professor Carol Alexander,
Pricing, Hedging and Trading Financial Instruments forms part three of
the Market Risk Analysis four volume set. This book is an in-depth,
practical and accessible guide to the models that are used for pricing
and the strategies that are used for hedging financial instruments, and
to the markets in which they trade. It provides a comprehensive,
rigorous and accessible introduction to bonds, swaps, futures and
forwards and options, including variance swaps, volatility indices and
their futures and options, to stochastic volatility models and to
modelling the implied and local volatility surfaces.
All together, the Market Risk Analysis four volume set illustrates
virtually every concept or formula with a practical, numerical example
or a longer, empirical case study. Across all four volumes there are
approximately 300 numerical and empirical examples, 400 graphs and
figures and 30 case studies many of which are contained in interactive
Excel spreadsheets available from the the accompanying CD-ROM .
Empirical examples and case studies specific to this volume include:
Sergey Golubev, 2013.09.03 11:03
Renko (extraction from Achelis - Technical Analysis from A to Z)
The Renko charting method is thought to have acquired its name from "renga"
which is the Japanese word for bricks. Renko charts are similar to Three Line Break charts except that in a Renko chart,
a line (or "brick" as they're called) is drawn in the direction of the prior
move only if prices move by a minimum amount (i.e., the box size). The bricks
are always equal in size. For example, in a 5-unit Renko chart, a 20-point rally
is displayed as four, 5-unit tall Renko bricks.
Kagi charts were first
brought to the United States by Steven Nison when he published the book, Beyond Candlesticks.
Basic trend reversals are signaled with the emergence of a new white or black
brick. A new white brick indicates the beginning of a new up-trend. A new black
brick indicates the beginning of a new down-trend. Since the Renko chart is a
trend following technique, there are times when Renko charts produce whipsaws,
giving signals near the end of short-lived trends. However, the expectation with
a trend following technique is that it allows you to ride the major portion of
Since a Renko chart isolates the underlying price trend by filtering out the
minor price changes, Renko charts can also be very helpful when determining
support and resistance levels.
Renko charts are always based on closing prices. You specify a "box size"
which determines the minimum price change to display.
To draw Renko bricks, today's close is compared with the high and low of the
previous brick (white or black):
If the closing price rises above the top of the previous brick by at least
the box size, one or more white bricks are drawn in new columns. The height of
the bricks is always equal to the box size.
If the closing price falls below the bottom of the previous brick by at least
the box size, one or more black bricks are drawn in new columns. Again, the
height of the bricks is always equal to the box size.
If prices move more than the box size, but not enough to create two bricks,
only one brick is drawn. For example, in a two-unit Renko chart, if the prices
move from 100 to 103, only one white brick is drawn from 100 to 102. The rest of
the move, from 102 to 103, is not shown on the Renko chart.
Something Interesting to Read January 2014
Sergey Golubev, 2014.01.22 10:12
Intermarket Trading Strategies explains how markets interact and
influence each other and how intermarket analysis can be used to
forecast future equity and index price movements by introducing custom
indicators and intermarket trading systems.
Single market technical analysis indicators were designed in the 80s for
national markets, and are no longer sufficient for analyzing the global
market dynamics. This book reveals how you can combine intermarket with
classic technical techniques to develop profitable hybrid systems or
improve on existing ones.
Divided into two parts, part one begins with a discussion of the basic
principles of Intermarket analysis and the benefits of portfolio
diversification by including uncorrelated assets such as commodities and
foreign currencies. It goes on to explain the concept of correlation
and the basic assumptions used before demonstrating the linear
regression method used for predicting one security based on its
correlation with related markets. A variety of custom intermarket
indicators are presented and explanations are given as to how each one
can be used within the framework of a trading system, including eight
new custom Intermarket indicators published for the first time in this
Part two uses the concepts presented in part one to develop intermarket
trading systems to trade popular markets like US and European stock
Index futures, FOREX and Commodities. Techniques for developing a
trading system and evaluating the test results are presented along with
suggested methods of avoiding curve fitting and the illusion of
excellence created by optimization. Stop-loss and other money management
techniques are also discussed. Finally a brief introduction to neural
network systems explains the basic principles of this alternative
approach for designing trading systems.
A total of twenty nine conventional and five neural network trading
systems, appropriate for long and short term and even day trading, are
provided to trade Gold, the S&P ETF (SPY), S&P e-mini futures,
DAX and FTSE futures, Gold and Oil stocks, Commodities, Sector and
International ETF, the Yen and the Euro. Finally a dynamic asset
allocation timing strategy which would systematically keep the portfolio
moving into the strongest asset classes or sectors, enhancing the
return characteristics while decreasing the overall volatility, is also
included. The metastock code for all systems is provided in order to
test and paper trade the system on more recent data before you move from
the computer to the trading desk.
The Bull, The Bear, and The Baboon: FX Lessons Learned the Hard Way
The easiest thing in the world to sell is something a person desperately wants. The three broad categories of human's core needs are - safety, satisfaction and connection. The lure of FX - foreign exchange trading - seems to be the magic formula to satisfy those basic needs. It is easy to make the argument that FX trading offers fast profit and because of the tremendous leverage, rapid accumulation of wealth. If one were to be successful at FX trading that would certainly go a long way toward validation of one's sense of self - it would provide satisfaction. With the economic and satisfaction needs satisfied, connection would seem to follow as a natural by product.
The major purpose of the book is to educate the novice FX trader (or wanna be trader) about all the dangers and pitfalls involved in FX trading. Because the novice FX trader is driven by hopes and dreams, it is very easy to fall victim to the sales pitches of the training programs. I love the way he describes the training courses: "Trading instructors were basically selling balloons: large and grand on the outside, but hollow on the inside." In the book, Mr. Hoang presents many different trader personality types. If you are contemplating trading FX, you will probably be able to see yourself as one of the characters. Don't think your fate will be dramatically different from the character in the book. Even the most suitable FX trader will fail unless he/she has sufficient capital. It is naïve to think that you will be able to spend a few hundred dollars and a few weeks and master FX trading.
In the beginning of the book, Mr. Hoang talks about the dot.com bust of 2000 and attributes it in large part to the Y2K. I believe the Y2K was a minor side issue - the problem was more venture capitalist funding too many solutions for which there was no market. But that certainly does not detract form the value of the book.
Forex Price Action Scalping: an in-depth look into the field of professional scalping
Forex Price Action Scalping provides a unique look into the field of
professional scalping. Packed with countless charts, this extensive
guide on intraday tactics takes the reader straight into the heart of
short-term speculation. The book is written to accommodate all aspiring
traders who aim to go professional and who want to prepare themselves as
thoroughly as possible for the task ahead. Few books have been
published, if any, that take the matter of scalping to such a fine and
detailed level as does Forex Price Action Scalping. Hundreds of setups,
entries and exits (all to the pip) and price action principles are
discussed in full detail, along with the notorious issues on the
psychological side of the job, as well as the highly important but often
overlooked aspects of clever accounting. The book, counting 358 pages,
opens up a wealth of information and shares insights and techniques that
are simply invaluable to any scalper who is serious about his trading.