Tips on how to read a good stock market book

Here I would like to share with you some tips on how to select a best market book. Future stock trading will be easier when you select the correct book to read. Books for traders and investors are a very important source of market knowledge. I must say that almost all my basic knowledge about the market came from good books.

I started with just a few books. I thought that I would do day-trading, so my first books were about day-trading. But later I learned that I did like to day-trade stock markets. I checked other books on how to trade stocks and found that swing and position trading fit my thinking much better.

Best stock trading book for a beginner trader or active investor

So I started to look for good books about swing and position trading. Finally I found one simple book which gave me important basics. Its called A Beginner’s Guide to Short-Term Trading  from Toni Turner. This book describes basic parts of planning to swing trade stocks. It can be used for position trade strategies too

It is possible to find a lot of books that are described as market books for dummies. I am not sure if they are all usable, so I recommend being selective when you search for a good book for traders and investors and read the opinions of other readers.

How to read technical stock charts using candlesticks

When I wanted to learn more about candlesticks I selected the “bible of candlesticks”. It is Steve Nisson’s Beyond Candlesticks: New Japanese Charting Techniques Revealed. This book explains candlestick charting techniques and how to read technical charts using candlesticks. It is not a cheap book, but I think everybody using technical charts should read this book.

Best training books for traders

I think that all important parts of this business (and active investing too) are best described in the books of Mr. Van Tharp. I did not use his trade psychology seminars but his books are well written.

They will show you that active investing is not only about the best pick but also about trade management and risk management and money management rules. Trade Your Way to Financial Freedom and Super Trader are two titles I read and I highly recommend them.

My tip to take the best from any trading book

Read the book. You will learn something. But do not forget to read the book again after some time, a year or so.

You will see that you will notice something new and important to you in the same book. Something what was not important for you when you read it last time.

After one year of market training you will have more knowledge and you will find something new in a good stock market educational book and your future stock trading will improve.

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