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A Must in Investors' and Traders' Library: Highly Recommended Mainstream Investing Trading Books

A Must in Investors’ and Traders’ Library: Highly Recommended Mainstream Investing & Trading Books

The following are the books which must form part of any serious investor or trader’s library. Some I have read personally, some recommended by close gurus I know of. Mainstream as they are, they are mostly the common books you find in forum which are recommended by bloggers and forum posters. Mainstream as you could get hold of it in your favorite bookstores or libraries. I remember in college I always compete with other borrowers for the Rich Dad Poor Dad series, and end up losing in the first-come-first serve borrow game.

Most of these books serve as investors’ and traders’ bible. Take time to read these books, and practice their thoughts. As cliche as it goes, it’s easier said than done. Hurray to the dedicated person who keeps them clean and used (sometimes dirty because you bring them everywhere, drink spills on it, food bits inserted in the pages); boo to the person who left these books in shelves with dust and rats and roaches running around.

You can also refer to the Amazon widget I have prepared at the left pane of the blog for easy reference. You can also drop by to local bookstores, or borrow from people you know who have hard copies or ebooks.

1. Technical Analysis of Financial Markets by John Murphy
2. Japanese Candlesticks by Steve Nison
3. One Up on Wall Street by Peter Lynch
4. Trend Following by Michael Covel
5. How to Trade Stocks by Jesse Livermore
6. Technical Analysis of Stock Trends by Edward Magee
7. The Intelligent Investor by Benjamin Graham
8. Rich Dad Poor Dad by Robert Kiyosaki
9. Wealth Within Your Reach by Francisco Colayco
10. Make Money Work For You by Francisco Colayco
11. Simplify and Create Abundance by Bo Sanchez
12. Retire Young Retire Rich by Robert Kiyosaki
13. Investment Analysis and Portfolio Management by Reilly Brown

Please don’t fail to comment if you bumped into a good read lately. Any book that can expand our trading horizons and knowledge in investments is always welcome.

So how do you maximize your learnings from the books you read?

Here are some simple advice which I personally practice (sometimes fail to do):

1. Take down notes. Highlight, underline (I still have my favorite wooden ruler – the wooden ruler you find from National Bookstore that you can use to hit your head when you made the wrong stock pick. You can also scratch your back while waiting for the right timing on your trade. Hehe).

2. Read slowly but surely. What is important is not finishing the book, but keeping in the key messages to your head. There is an apparently big difference between a reader who finished a book but doesn’t learn anything and someone who is in Chapter 1 but has applied one lesson from the chapter.

3. Relate the lessons with your trades. Sometimes, you find strategies and techniques along the way when you trade. For example, you find the voice of Warren Buffet telling you “Hey, I would do the same thing if i were in your position!” If the voice gets louder, most likely your instinct is recognizing the similarities.

4. Deep-dive into the world of charts. Don’t be afraid. This is applicable to technicaly analysis newbies who are scared of the lines and terminologies. I was like that before. It was a weird thing to me seeing those green and red lines, those candlesticks and triangles. I was succumbed by the strangeness of it. Until I realized that only if I tried can I read the charts. You begin reading chart when you have overcome the fear of failure of reading it correctly.

Just a note – if you are successful with your own style, whether it be fundamentals or through following stock trade tips or subscriptions – you don’t have to be a chartist. Follow the strategy that brings you money – not everyone is required or meant to be a technical analyst. I personally know of people who follow fundamentals and news and they make big money.

5. Revisit the books. You can’t learn all these things overnight. It would entail regularly practising the TA or FA muscles in you. It has to get into your bloodstream, your emotion, your thinking, your self-control. It has to become a part of you. And the best way to recall these things is through re-reading the books. For me it’s a great reminder of correcting the errors I do in chart reading.

The list would go on and on. Let your fingertips touch the pages of your tools to success.

Never miss the money rush!
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