Jul 262011

I quite reading trading books a while ago, but recently a couple have come to my attention.  The first I found while browsing on Amazon:  Diary of a Professional Commodity Trader: Lessons from 21 Weeks of Real Trading.  I like trading books that are conceptual and/or about stories of trader experiences and development, rather than books about a “system” or “setup”.  This one seems interesting and I figure if I can benefit from his 21 weeks of trading by spending a few ES ticks then it’s a good deal.

The second book is one I already have: Reading Price Charts Bar by Bar: The Technical Analysis of Price Action for the Serious Trader.  I found this one very difficult to read but FlowTraderES has been tweeting some interesting ideas he got from this book such as the 5 tick reversal and today a large breakout bar on 5min chart (9:50 NY time).  He got long on that and was using the midpoint of the bar for his stop.  It turned out to be a great long trade.  I missed that.  So I intend to attempt to read the book again and see if I can understand it better.  The last time I read it was over a year ago and I still hadn’t been weened off indicators at the time.

For fun, I will be reading Harrington on Online Cash Games; 6-Max No-Limit Hold ’em.  I’m intrigued by the similarities in trading & poker and I think learning more about poker will help my trading.  I need to fold more often in trading – ie. give up my position when it’s not likely to win.

If you know of another good book, particularly if it’s available in an audiobook, please let me know.


  4 Responses to “Summer Vacation Reading”

  1. “The Way of the Turtle” by Curtis Faith which is an excellent book on how a trader turned regular people into traders. You could find it as a audiobook on Amazon.

    The other book is “The Art of War” by Sun Tzu, though not a book on trading it is worth reading and helped improve my thinking regarding trading. Could also be found on Amazon.

    I also like reading books on poker, especially those that focus on risk/money management and the mental aspects of winning and loosing.

    Thanks for a great blog!

  2. Hey Michael,

    coincidently, Im also ordering “Diary of a Pro Commodity Trader” just now… Wanted to get that book a while ago but needed to finish reading others first…
    “Reading Price Charts Bar by Bar” I just cant read it… “Bar 2 was a H2H …” what??? LOL
    I would assume you already read “The Undeclared Secrets that drive the Stock Market” by Tom Williams (or Master the Markets which is the same just more advertisment). If you havent read those, then this would be a must read for your/our trading style…
    Which books of Steidlmeyer did you find best? I have to confess that I have only read Daltons books on AMT as well as the one from Tom Alexander and Don Jones. I want to finally get to a book from Steidlmeyer and would be thankful if you can recommend the one you liked best from him…

  3. domenik – I haven’t read any of Steidlmeyer’s books. I think Dalton’s are enough so I’m reading dalton’s again. I finally got a hardcopy of Mind Over Markets, I found it used for 20 euros. A few months ago it was really expensive (hundreds of dollars), I guess they do another printing and now prices fall back down.

    Al brooks – i gave up reading it as well. I read some chapters but couldn’t read them all. I don’t like the approach of just watching the bars. I prefer to have my levels and look for trades at my levels. I think it’s easier. But there are a lot of good concepts in Al’s book such as “if it could be the high or low of the day, swing a portion” etc.

  4. yea I tried to read Al Brooks book about 4 times and after 30 mins of reading and rereading 2-3 pages i gave up. I do believe it probably has some value on price action but its so much encrypted that i spend more time at the backend of the book trying to figure out what he means with all his expressions of patterns that he came up with…
    Btw, love your post on expectancy… awesome

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