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Day Trade Lifestyle Blog
The Books We Recommend for Learning to Trade
Written by Michael Thompson
Day trading can be described in two words, buying and selling. Basically, you deal with financial statements on several occasions within the same day, taking advantage of price movements. It may be a bit tricky for a newbie trader that does not know how to strategize well yet but luckily, we have these books to help you start making money consistently in the market and avoid common mistakes most traders make in the beginning.
1. One Good Trade: Inside the Highly Competitive World of Proprietary Trading
Author Mike Bellafiore tackles the principles and methods that allowed him to maneuver through the most grueling markets for years. In this book, he shares his techniques to a group of professionals at the trading firm he co-founded on how to overcome the challenges of prop trading and insight on how to succeed or fail in this trade.
The book tells its readers the essential ingredients of an effective trader:
- Benefit
- Skill development
- Profitable trading strategies
2. Trading in the Zone: Master the Market with Confidence, Discipline, and a Winning Attitude
This book written by Mark Douglas with a foreword by Thom Hartle helps traders deal with habits such as inconsistency that may not only cause them to lose money, but may also affect their standing on the trading floor. The book reveals to us a few tricks:
The book tells its readers the essential ingredients of an effective trader:
- Don't be afraid to take risks.
- Don't worry about the consequences of your actions on the floor.
- Carry a good outlook towards the market movements.
3. Beyond Positive Thinking: A No-Nonsense Formula for Getting the Results You Want
It introduces a practical approach to achieving day trading success.
It offers a step-by-step guide that helps readers:
- Personalize their goals
- Be more creative
- Surpass limitations
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Act on your dreams
4. How to Day Trade for a Living: A Beginner's Guide to Trading Tools and Tactics, Money Management, Discipline and Trading Psychology
Andrew Aziz talks about the perks of a career in day trading such as travel opportunities, working on your own time as much as you want, and not answering to the whims of a boss. He explains how people aspire to succeed in it, but that only a chosen few actually thrive.
Here are a few of his tips for success:
- Stay motivated
- Hard work
- Perseverance
The author compiled a concise guide to concepts and methods to get you on your way to day trading on the market.
5. Buy the Fear, Sell the Greed: 7 Behavioral Quant Strategies for Traders
In his book, author Larry Connors instructs how to recognize when cash managers, investors, and traders are on their toes, and how to take advantage of such a situation. The book teaches the reader about:
- Substantial trading opportunities
- High probability situations
- The perfect buy and sell timing
The book analyzes that the market decreases when the fear is high and how it increases after it subsides.
6. Hedge Fund Market Wizards: How Winning Traders Win
Jack Schwager, an investment expert, Wall Street theoretician, and a best-selling author, shows the world of hedge funds at a different light. The book not only discusses what makes a trader great, but it also shares insights into strategies utilized by successful traders to greenhorns looking to make it in the hedge fund business.
- Exclusive interviews with outstanding hedge fund traders
- Offers key lessons for upcoming traders
It shows readers a look at the wins and losses of the most profitable traders and the lessons we can learn to propel us into our own trading careers.
7. Reminiscences of a Stock Operator
Although this book by American author Edwin Lefèvre was first published in 1923, it remains to be a must-read for people pondering on a career in the stock market. It is a story inspired by the life of Jesse Livermore, one of the pioneers of day trading, told in the first person and divided into three major parts:
- When Livermore made easy money by taking advantage of inactive stocks in 1890-1910
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When Livermore went broke because of too much leverage as a stock trader on the New York Stock Exchange in 1910-1920
-
When Livermore manipulated the market by charging a 25% fee on stocks before the U.S. Securities and Exchange Commission was created
8. The Complete Book of Option Spreads and Combinations: Strategies for Income Generation, Directional Moves, and Risk Reduction
This book by Scott Nations is an authoritative reference for using option spreads and strategies. This guide shows readers:
- The perfect strategy for various market outlooks
- Risk and reward of these strategies
- How those strategies affect the market movement
This read thoroughly explains where and when the numerous strategies may perform well. It may well be a handbook for a trader looking to reap the most benefits with uncomplicated strategies.
9. The Master Swing Trader: Tools and Techniques to Profit from Outstanding Short-Term Trading Opportunities
Swing trading is a strategy in financial markets where an asset is held for up to several days in an attempt to profit from price changes or "swings." It's quickly gaining popularity and author Alan Farley offers a walkthrough for it.
The book carefully explores:
- The perfect strategy for various market outlooks
-
Charting
- Market moving
These are all proven methods to make trades that do not get affected by price variation. Farley, a writer and contributor for over a dozen financial publications, used charts and graphs to further explain guaranteed swing trading ideas and approach.
10. The Option Trader's Guide to Probability: Volatility and Timing
This book written by Jay Kaeppel will give your confidence a boost to play the options game. The market's unpredictability leaves traders clamoring for various ways to get ahead in trading, as this will guide you in making intelligent and spirited decisions in any given situation.
It offers:
- Risk assessment guidelines
-
Risk curve analysis
-
Exit strategies
It provides readers with trading option methods and authoritative advice on when to put those strategies in action.
11. The Secrets To: Emotion Free Trading
This book dwells on the emotional experience of the author Larry Levin, as he tells us about his life as a trader. It is a remarkable book about self-discipline. An easy-to-read and straight forward book that is perfect for anyone struggling to keep their emotions in check when trading the market.
The book is broken down into three major sections:
- Characteristics that will allow you trade optimally
-
Tackles aspects that you should avoid to be a successful trader
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Teaches the reader techniques and strategies that will guide them to outperform more seasoned traders
12. Trading on Momentum: Advanced Techniques for High Percentage Day Trading
Ken Wolff explains in his book the ways to take advantage of the latest market trends by focusing on stocks based on momentum and not on estimates. This book provides pointers on:
-
Tracking market movement
- Identifying short-term market highs and lows
-
Familiarity with the gainers, dumpers, and gap plays
This book guides traders to recognize market changes and how to adapt their strategies appropriately.
Traders should never stop learning about the market and its trading styles. To be successful in this field, you have to continuously improve not just your knowledge, but also your techniques and strategies. The stock market may seem complicated and tough, but these books may provide the boost that will take you to the top.
About Author: Michael Thompson
Michael Thompson is an advanced senior trader with over a decade of trading insight. He has traveled to trading seminars all over the world including Ireland, Germany, Thailand, California, Florida, and Costa Rica....His trading style is centered on accelerated growth. Michael prefers trading a combination of different options strategies.
How to Start Trading With An Account Under 25k
Author: Blake Levison
When your'e just beginning to trade, you might not have $25k in your margin account. It can be a little hard to successfully trade in that situation because of the PDT rule, but don't worry, there are a few ways around it and some very helpful tips and tricks that we will share with you.
Top 10 Rules for Trading
Author: Blake Levison
It's important to know a thing or two before starting to trade. Beginners often learn the hard way, but it doesn't have to be like that. If you know about these ten rules, you will be much more successful and you won't make as many mistakes. Here are the top 10 rules that you absolutely need to know.
How To Get Started Trading with as little as $500 dollars
Author: Blake Levison
Of all the questions beginners ask about the stock market, "How do I get started" has to be the biggest one. From the outside looking in, it must feel as though it is an impossible dream, only to be achieved by those with an immense amount of money and resources. Although it is important that you only invest money that is truly expendable, you can get started with as little as $500. Below we are going to discuss the steps to take to make your trade market dreams come true.
