Outstanding Resources on How To Make Money with Charts
This is a piece which I started several weeks ago but which due to urgent matters at the time I had to put to one side.
Several times I have been asked for a reading list which can be used to raise the quality and ability of prospective investors and traders.
Here it is.
Sorry Ben Graham-ites! Your master didn't make the (my!) cut because this list is about the practical use of charts and intended to work on all timeframes. On a more serious note the Graham and Dodds thesis can be alternatively represented on charts as an approximate 10 or 20 years trading range which stock prices, earnings, and returns of assets employed, oscillate within and can be accordingly traded.
Technical Analysis of Stock Trends (6th or later edition)
Robert Edwards & John Magee
All time classic on bar chart analysis
Reminiscences of a Stock Operator
Edwin Lefevre (Jesse Livermore)
The best book about trading there is
Forecasting Financial Markets.
Excellent Integration of Fibonacci, Cycles, Elliott Wave and Technical analysis
The Power of Oscillator Cycle Combinations
System trading properly with indicators, trading trends not reversals
The Profit Magic of Stock Transaction Timing
J M Hurst
Geometry of Markets II
Gann & Elliott techniques
Elliott Wave Principle.
Robert Prechter & A J Frost
Complete explanation of Elliott Wave Theory
A Case for Cycles.
Cycles: The Mysterious Forces That trigger Events
Edward R Dewey
Wave theory model for markets
Trading is a Business
Covers practical problems of making money
Technical Analysis of the Futures Markets.
Textbook summary of most available technical tools & styles (alternative primer by Pring would do fine)
Technical Analysis For a Trading Professional.
Alternative to Murphy or Pring with some better presentation and less wide coverage
Volume & Open Interest
Underlying structure of leveraged markets
The Undeclared Secrets of The Stock Market
Volume Price Analysis
Rhythm ‘n Price (RNP)
Integrated Multidisciplinary Analysis (not a book) a video advisory analysis/trading training course
Extraordinary Popular Delusions and The Madness of Crowds
Social Mood that drives Markets is for prolonged periods erratic and irrational
The Market Wizards
Successful traders interviewed (the original volume not the sequel)
Volume Cycles in The Stock Market
Trading With Equivolume
Volume Characteristics of market Prices
Charting Commodity Price Behavior
L Dee Belveal
Volume Characteristics of futures prices
Several of the above books have been updated since I purchased my copy, and a more recent title may have been affixed to the same but updated work. Murphy, Williams, and Ross are examples. The later version is probably better. In some cases, like Schwager, a sequel has issued with similar title, but in this writer's opinion the original is the better one.
Some of my own work is in the list. This may provoke a response that I am being self serving. Well we all have our views on everything and I only say that in my view my work deserves to be in this list with those other works. I'm not about to write what I do in a book so that's what's available. So take it as advised and (I suggest) read them all.
I do believe that to try to trade financial markets without reading at least half of the works listed first is tantamount to throwing money away in the direction of more professional market participants. I doubt that without reading all of them, and also repeatedly over time, I would be able to make profits in markets. They are essential knowledge for the chartist. Now if somebody wants to use other inputs than charts, fine, but there are really good reasons over 75% lose money every year and 90%+ lose money over a three year period. Some of those reasons might just be included in the works listed. For an experienced trader they represent a good beginning or foundation.
There is a tendency to use the PDFand other electronic formats due to convenience and reduced cost. I have most of these in e-format in one filetype or other, but I have paper hard copies too. I use the e-book to look something up quickly. But for learning the e-book is a very low ranking and inferior substitute from which the intake of concepts and ideas is greatly reduced for the same time spend reading. At least I find it to be so. My many attempts to overcome this failing of screen based information have convinced me that for learning purposes, paper is superior by a very significant degree. I assume it is either, a personal trait in myself, or alternatively it is something to do with the way the intellect and eyes work to intake information. I suspect (strongly but can't prove it) that the tactile feel (of reality vs virtual?) plus the flippability of physical pages held between fingers for cross referencing with later text is a superior method, providing a standard that e-books have not yet attained. So the books are, to me, a more valuable resource than the e-books.
Take care and may you be successful in your journey
The author posts daily commentary on the gold and silver markets in the TFMR forum: The Setup For The Big Trade. More information about the author & his work can be found here: RhythmNPrice. The author advises that he trades and holds market positions in accordance with his own opinions.