BOOKS FOR YOU..
Many a times when I chit-chat with traders across social media/personally the first thing that they ask is “Siddharth can you suggest some books which are related to trading?” I feel elated seeing the enthusiasm among fellow traders to read and quench their thirst of knowledge because according to old maxim “KNOWLEDGE IS POWER” but for me its “SELF GAINED KNOWLEDGE IS POWER” and one of the best source to attain “KNOWLEDGE” is undoubtedly “BOOKS”. I may sound little bit conventional in my approach but trust me when you read a book — highlight the important aspects — take notes in your style the impact of such process based learning is much long lasting and satisfying. So before a further a do let me take a chance to answer the widely asked question “CAN YOU SUGGEST SOME BOOKS RELATED TO TRADING?”
Here I will not make a long list of books and tell you to read all rather I will share my favorite books which I have read time and again and also try to give a broad review of the book and also let you all know what I liked the MOST from the books. So let’s get started
#1 Street Smarts: High Probability Short-term Trading Strategies (Book by Laurence A. Connors and Linda Bradford Raschke)
This was the first book which changed my outlook towards trading and markets. The best part about the book is instead of giving everything in form of monotonous paragraphs the book is in form of a conversation due to which you will never feel that the book is lacking in flow. This book has got some very simple and effective methods (strategies) of trading the markets in which they have divided their strategies into parts like TEST — RETRACEMENT — CLIMAX — BREAKOUTS out of which the method which I liked the most was “WOLF WAVES PATTERN”. Even today I trade based on such WOLF WAVE PATTERN
Here is the link of the video which I made on “WOLF WAVES PATTERN” https://twitter.com/siddharth_2410/status/1243887561266741248?s=20
This book also shows you the ways to deal with NEWS and aspects of SMART MONEY along with that the lesson I feel which is more important is “MONEY MANAGEMENT” which many beginners will AVOID reading during the early days (which I even did) but later again you will come back and read the same so better take it as a small advice just read it with whole heart as and when it comes and don’t SKIP it.
Trading is like any other discipline if your foundation is good then the upcoming days will be also good so if you want to improve your foundation then NEW LEARNERS this book is must for you all
#2 Think and Trade Like a Champion (Book by Mark Minervini)
Mark Minervini is one of the best selling authors and the reason behind it is, he will “NEVER BEAT AROUND THE BUSH” and will take you directly to the important aspects of trading by following which literally you can do KILLING PERFORMANCE which in his terms is called SUPER PERFORMANCE. Now coming to the book when you will read you will find out that the book is written properly out of EXPERIENCE and has nothing fictional or hypothetical. He discusses about certain important aspects like VOLATILITY CONTRACTION, LOW FLOAT, RELEVANCE OF 200DMA, PILOT POSITIONS, SCALING UP-DOWN, POSITION SIZING etc. The aspect which I liked the most in the book is“VOLATILITY CONTRACTION PATTERN”. See as a trader its not only important to ENTER a position but also to EXIT a position and this book deals with both in a very wide manner.
This book is all about MOMENTUM BUYING and those who are looking for SWING TRADES especially in SMALL CAPS/MICRO CAPS this book is ideally meant for you. This book also teaches about one important aspect “WHEN TO SIT ON CASH” which is like “WAITING LIKE A TIGER AND THEN HUNTING WHEN THE PREY COMES IN YOUR ZONE”. Lessons on POSITION SIZING — WHEN TO SELL AND NAIL DOWN PROFITS are like literal blessings for new traders who never pay attention to such things and just keep on hunting new strategies.
Based on the methods I learnt I started putting up some trade ideas on TWITTER and one of the SUPER PERFORMER was GUJARAT GAS which I tracked a LONG from Rs.183 and the stock went to make a new 52W HIGH of Rs. 313. Here is the link of my old tweet https://twitter.com/siddharth_2410/status/1167835156494766081?s=20
Those who want to be SUPER PERFORMER in the next BULL RUN this is the apt time for you to read the book and gain perfect knowledge but I would suggest new learners even if you are touching this book then you should give time and don’t try to just read in a one-two days i.e. absorb the book day by day
#3 The Undeclared Secrets That Drive the Stock Market (Book by TOM WILLIAMS)
This is one of the book which again took me by surprise and I was so much interested in the book from the inception that I completed the whole book in a single sitting and believe me I still read it whenever I get time (but only my favorite sections which I have marked). My keen interest in the book was specially due to the topic “VOLUMES”. For any trader VOLUME is like the actual heart of the ongoing trade, if the VOLUMES start drying once you are up in the trade understand that the death of trade is very near so its a very clear signal to “GET OUT OF TRADE”. The book is a real eye opener which deals with aspects like “VOLUME SPREAD ANALYSIS”, “MARKET MANIPULATION”, “CHARACTERISTICS OF BULL — BEAR MARKET”, “SIGN OF STRENGTH”, “SIGN OF WEAKNESS” and much more. If I have to figure out which is one of the most favorite topic from the book then its very hard but I would still rate out “VOLUME SPREAD ANALYSIS” at the top of the list.
The reason I like this topic so much is it will help to decode “RETAILERS ACTION” versus “INSTITUTIONAL ACTION”
Those who are trading based on VOLUMES for you this book is again a PURE GOLD just read it once and you will find out that you are again up in the game with more power. I also made an attempt to impart the knowledge which I got from the book. Check the link to my old tweets
https://twitter.com/siddharth_2410/status/1180588613425229830?s=20. Those who have read about aspects of WYCKOFF’s method of trading again this book would help in doing value addition to your knowledge base
I have read several books but the books which has helped me to improve my performance over the time are these books so I made an attempt to share with you all my thoughts about the same and in no means I am promoting these books.
Before I conclude the whole thread I would suggest one simple thing
“DON’T GO THROUGH THE BOOK BUT GROW THROUGH THE BOOK”
Hopefully I was able to answer the question in apt detail. If by any chance you found it interesting please share it with others because “SHARING IS CARING”
You can reach me on TWITTER & on TELEGRAM
With Regards,
Siddharth
