In years gone by, trading was something only a select few people got to do. Being ultra-wealthy or working for one of the big investment banks were, essentially, the only ways that you could get a slice of the action. If you weren’t in one of these groups, you were stuck investing in basic funds and blue chip shares through your local stockbroker.
Today, however, things are radically different. The internet and changes to legislation have democratised the financial markets, putting elite-level tools in the hands of any average Joe or Josephine. Thanks to online trading platforms like Equiti, you can now sign up and begin to gain exposure to almost every major instrument through derivatives from your computer, tablet, or smartphone.
Yet, while modern technology like this has made it much easier for anyone to start trading, one of our oldest pieces of tech, the printed book, continues to be one of the most valuable sources for traders, serving up core knowledge and useful insights on strategies that have remained useful for decades.
Market Wizards: Interviews with Top Traders
What’s better than learning from one top trader? Learning from several top traders, of course! And that’s exactly what Jack D. Schwager serves up with this best seller, Market Wizards: Interviews with Top Traders.
From cover to cover, this book contains fluff-free facts and philosophy from people who have truly walked the walk and not just talked the talk. Market Wizards was a massive hit when it was first released, but its no-nonsense focus on actual useful tips is a sharp contrast from the showmanship and unserious literature that has filled the trading education space in recent years.
Schwager, himself, is a man of substance, having held senior positions in trading firms for years before he penned this piece of trading literary genius. The American trader has been publishing new editions of this book since 1989, along with a few additional titles to supplement the franchise, and has developed a strong following of trading disciples along the way. If you’re not already one, you definitely should consider it.
If you want more from Schwager, check out his more recent title Unknown Market Wizards: The best traders you’ve never heard of, to learn from financial sorcerers who fly under the radar.
Day Trading and Swing Trading the Currency Market
Forex trading is a different beast from other types of instruments because different factors can influence a currency compared to a single company. So, if you’re new to trading foreign exchange markets, then Kathy Lien’s Day Trading and Swing Trading the Currency Market is a great place to get started.
The book’s subtitle sums up this publication well: ‘Technical and Fundamental Strategies to Profit from Market Moves’ as that’s exactly what Lien offers to her readers. She uses her experience to guide readers through the steps of profiling trading environments, the specific indicators to use in each one, and the drivers of price movements of different currency pairs.
The Disciplined Trader: Developing Winning Attitudes
One thing that many modern trading influencers miss from their content is that trading is something that requires discipline. You can’t expect to turn up on day one and suddenly be a wizard of Wall Street.
Many books focus on the technical elements, but Mark Douglas took a different route with his book The Disciplined Trader: Developing Winning Attitudes. In it, he focuses on the psychology of trading and the mental discipline that is required to succeed.
He explains, with plenty of examples, why most traders are incapable of maintaining consistent levels of profitability through their efforts. This is then followed by practical steps you can take to change your own mindset and psychological approach to trading.
There are plenty of people that have discussed the psychology of trading in more recent years, but back in 1990, Douglas was a pioneer. His words of advice stand true today, making this a great addition to your reading list.