Hello, Konnichiwa! This is Kei.
After launched the video request box, I amgetting messages from traders every day about many kinds of topics.
And today, I will answer to one of the mostfrequently asked questions, which is “what is your favorite book for forex trading?”and “which one should I read to improve my trading?” So this time, I will introduce 3 books fortechnical analysis and another 3 books for mindset to be a successful trader, that Ithink all the traders must read, because these are the books that I read many many timeswhenever I get into slump or going through tough times.
And before moving on, make sure to press agood button and subscribe and hit a bell so that you get notifications every time I uploadnew forex videos.
So, let’s begin! Among dozens of books I’ve read so far, I picked up the ones that I think are necessary to to read when you are struggling or havinghard time in trading.
In fact, I don’t use so much money on eating, clothing, or on other living expenses, but one thing I’m committed myself is that Ispend money on books.
The reason is because any books help me togrow first of all, and also, what I get and learn from books changes depending on my levelover time even if it’s the same one, you know, sometimes I discover things that I didn’tin the past.
And this is how I realize my own growth, andit helps me to grow myself even more.
And you will become successful when you combineyour knowledge from books with your actual trade experience.
And don’t just open a book and read throughand think “oh, this is a nice book” and close it.
But read between the lines and pose and thinkyourself, and whenever you come up with your own thoughts or ideas, write them down andput those words where you can see while trading.
So first, let me introduce 3 books that Irecommend for technical analysis.
The first one is “the market maker’s edge:Day Trading Tactics From a Wall Street Insider” written by Josh Lukeman.
Why I recommend this book is because thisone covers necessary skills to be a successful trader by sections, like not only just thechart analysis and reading techniques, but it also talks about risk management, fundamentals, and also, necessary mindset along with some basic trading techniques including chart patternsand candle stick patterns.
And it really covers everything that’s necessaryfor a trader, so if you are still new to trading and looking for a good book to read, I thinkthis is the one for you because I myself learned a lot from this book when I was still a newbie.
The second book I recommend for technicalknowledge is “one good trade” by Mike Bellafiore.
He was actually running a prop trading firmand he wrote this book with some nice examples and some casual and funny words so it’sentertaining at the same time.
In this book, actually existing traders fromthe prop firm show up and talk about what’s necessary to keep running the trading firmwith profit, and this book actually teaches all that.
Just as the title says, in order to do “onegood trade, ” it talks about what kind of trade you should do, and what you should not.
And this book also talks in details beautifullyabout the importance of pursuing “one good trade” without just chasing the profit rightin front of you.
And I love the story telling inside too.
So even you are not a trader, this is somethingenjoyable to to read and kind of sneak into the trader’s job, so I highly recommendyou to read this if you haven’t read it yet.
Alright, the third one I recommend is “TradingPrice Action Trends” by Al Brooks.
This book digs into price action which isthe basics in forex chart.
In fact, if you really know the price actionand candle stick patterns, you don’t really need other indicators, like Bollinger Bands, RSI, because price action is everything and the indicators are all calculated based onthe price action after all.
I remember I used to train myself with justplain black and white chart with no indicators and do trading.
And this book is for the ones who want tolearn the price action because the examples are based on the practical situations, likein a range, break out, or reversal market and it also teaches you how to draw trendlines and channel lines properly, too.
So if you have been using indicators but feellike investigating into the price action itself, this book must be for you.
Alright, next, let me introduce 3 books aboutmindset.
The first one is “Market Wizards” by JackD Schwager.
What makes this book special is this bookcontains interviews of 17 traders who are the top traders across various financial markets.
The book is basically written by Q and A sessionswith each trader.
And as you read through, you can compare thestrategy, motivation, and mindset of those different top traders that teaches a lot aboutforex trading itself, you know, like how they see the market differently, or what kind oftrade style they use, what each trader thinks the necessary skill is, how they handle thestress and depression during trading, things like that.
And their words are very much detailed andprecise, and very practical.
So if you are already trading, I highly recommendthis book to refer to the top trader’s opinions.
The second one I’ll be introducing for mindsetis “Trading in the Zone” by Mark Douglas.
This book is for those who are still strugglingwith rules and discipline, like if you are struggling with your emotion when you losemoney or trying to win back, this books helps you not only how to manage the frustration, but also helps you to find your own answer.
For example, it explains what it is to bea risk as a trader, what it means to take your own responsibility and how to updatethe software of yourself.
and I mean, there are a lot to learn from this book and I don’tknow how many times I’ve read this book.
So if you want your psychological break through, this book is highly recommended.
The last one for your mindset improvementis “tools and tactics for the master day trader” by Oliver Velez.
This book is also a bible for traders becauseit talks about the difference between gambling and trading, and what it is to win and losein trading, and how you can realize your own character by taking notes on each trade.
This is a great book for psychology, but thecontents are very practical that you can apply and practice from today.
You know, I like to use an analogy of drivingcars when I talk about studying forex trading, but to me, technical analysis is like metersin the car, because it only tells you how fast you are driving, how much the engineis rotating, things like that, but you never be able to drive a car just by looking at them because youhave to operate the handling or breaking, or the sense of cars around you, things likethat, and those are what I call strategy and tactics that I talked on my previous video.
But mindset is something different.
Mindset is like your own personality, or character, and it depends.
And it’s something that you can only imitatebut you can never be the one.
That’s why this is something that you needto realize by yourself and that’s why this is the hardest part, because you cannot seeit.
You know, the candles or bollinger bands, or Ichimoku Clouds, or any other indicators, you can see it, right? But you cannot see your mindset and yet, thatcan be a great pitfall for all traders.
So remember, your mindset is more importantthan technical analysis when you actually trade, and that’s why I encourage you toread those books too.
The links to all the books I introduced todayare in below description, and I actually have some more books that I wanted to introduce, so I will create a page on my website and put that link on the description below, too, so you can check them out later.
Alright, thank you for watching, and if youthought this video was helpful to know which books to read, press a good button, and makesure to subscribe and hit a bell so that you get notifications every time I upload newvideos.
Stay Gold! Matane! Bye.