Recommended Reading

This is a discussion on Recommended Reading within the Trading Delta Cycles forums, part of the Specialists' Corner category; I would like to have a thread where we can suggest key literature that you have found to be the ...

Reply
 
LinkBack Thread Tools Search this Thread
Old May 25, 2009, 10:14pm   #1
 
trendie's Avatar
Joined Jan 2004
Recommended Reading

I would like to have a thread where we can suggest key literature that you have found to be the most incisive in terms of understanding each of our esoteric subjects.

Preferably, each suggestion should be in the form of a synopsis, covering major chapters, and the key subjects that make a particular book stand out.
(rather than the usual, vague one-liners we normally get. For example, 2be has recommended to me Robert Miners book Dynamic Trader, mainly as he believes it covers Elliot clearly, as well as having a "cheat-sheet" on a specific version of the print. that sort of thing.)
__________________
# If the only tool you have is a hammer, you tend to see every problem as a nail - Abraham Maslow
# There are 10 kinds of people in the world; those that understand binary, and those that dont. -Anon
# Ed Seykotas Whipsaw Song http://www.youtube.com/watch?v=LiE1V...Wlxk8&index=10
# Defeat is temporary. Giving up makes it permanent. Anon
trendie is offline   Reply With Quote
Thanks! The following members like this post: hwsteele
Old May 25, 2009, 10:36pm   #2
 
hwsteele's Avatar
Joined May 2004
I think this is a very good idea!!
__________________
Always wanting to learn more!
hwsteele is offline   Reply With Quote
Old May 27, 2009, 2:49pm   #3
2be
 
2be's Avatar
Joined Feb 2007
I would like to recommend book written by John Murphy, Intermarket Technical Analysis.
The book explores the relationships between the 4 major market's and which ones are likely to be a leading indicators. The four markets considerred are: equity, commodoty, currency and bond markets. It is not the easiest book to read, with a lot of different markets being comparred to one another, but it is worth to stick and study this important work, especially so in such times as we are facing now.
The benifit is that one has some perspective of the possible moves, and one is likely to spot suspected moves of the given market, if the usual relationship with the corresponding market/s do not follow. This perspective shall prove to be very applicable in todays markets.
Sometime ago I have made a list of books which in my opinion have been very helpful in my journey of trading/market discovery. I have read more that that, but apart of a few light reading, some of the listed books I have studied and re-read.
I would also add R.Miner High probability Trading Strategies, which is a kind of a follow up from the first book with many extra material like ch2, Multiple TF Momentum Strategy,or ch3, Practical Pattern Rocognition for Trends and Corrections. I highly reco this book too, after studying his first one.
Attached Files
File Type: doc List of trading books.doc (21.0 KB, 457 views)

Last edited by 2be; May 27, 2009 at 5:31pm.
2be is offline   Reply With Quote
Old May 27, 2009, 5:40pm   #4
2be
 
2be's Avatar
Joined Feb 2007
I also thought to mentioned few threads that I have found useful. I do not follow them closely, but have learned a lot from them.
James16 FF
Both treads by Phillip Nel (M5 and H4 MACD) FF
Lever700, cornflower FF
Bobkus fibonacci FF
DIBS FF
No free lunch - esp Peter Crowns postings on inside bar trading FF
Trader Dante (have read the first 90 or so pages related to the over all trading strat) T2W
2be is offline   Reply With Quote
Old Jun 5, 2009, 8:44am   #5
 
trendie's Avatar
Joined Jan 2004
Trading Chaos (Bill Williams)

trendie started this thread Trading Chaos; Maximise Profits with Proven technical techniques.
Bill Williams

Quite interesting. First few chapters deal with psychology, and market structure, and how to navigate them.
Then, they get onto how they trade. They use 3 separate entry methods, which was an insight as to how they increase their odds of success. Also, their pyramiding, ie, adding onto a winning trade has made me contemplate a similar approach, rather than just taking a “linear” trade.

Their rules are based on using the Alligator indicator, which is available freely. Its 3 MAs, with various offsets.

The entries are called “wise men”. And there are 3 of them.

The Alligator gives direction, and trades are taken with respect to the Alligator.

The first Wise Man is a speculative reversal, where the direction of the Alligator diverges from the line of the price causing a “divergence signal”. The description of this is very similar to the Pin-bar, or Doji. Effectively, price has diverged away from the Alligator, and the assumption is there will be some sort of bounce back.

The second Wise Man is the use of the Awesome Oscillator. This is also freely available, and is a histogram of the differences between a 34-MA and a 5-MA. The trigger is 3 consecutive red bars readying for a short, or 3 consec green bars for a long. The bar that causes the trigger has to “break”, you don’t just trade the oscillator. That is, for a buy, the bar that triggered the buy, price must break the high of the trigger bar, etc. Similarly for sells.

The Third Wise Man is a Fractal breakout. This is simply a bar that has either a high with 2 bars either side of lower-highs, or a bar that has a low with 2 bars either side with higher-lows. This reminds me of DeMark.

Exits are the break of the lowest 3-5 bars to exit a long, or a break of the highest of the past 3-5 bars to exit a short.

They used pyramiding, in that the first Wise Man signal is entered with 1 lot (since its speculative), the second Wise Man entered with 5 lots, and the fractal entries with 4 and then 3. Total lots per trade being about 15.

The rest of the book is about metaphysical stuff about mindsets, exercises such as “morning paper”, where you write for 3 pages worth of “stream of consciousness”, to get out of your system the nagging thoughts and mind-chatter going on in your head.

Overall, the thing that I will take away from this book is experimenting with multiple entries to maximise a decent trend.
__________________
# If the only tool you have is a hammer, you tend to see every problem as a nail - Abraham Maslow
# There are 10 kinds of people in the world; those that understand binary, and those that dont. -Anon
# Ed Seykotas Whipsaw Song http://www.youtube.com/watch?v=LiE1V...Wlxk8&index=10
# Defeat is temporary. Giving up makes it permanent. Anon
trendie is offline   Reply With Quote
Old Jun 5, 2009, 1:49pm   #6
2be
 
2be's Avatar
Joined Feb 2007
Quote:
Originally Posted by trendie View Post
Trading Chaos; Maximise Profits with Proven technical techniques.
Bill Williams

Quite interesting. First few chapters deal with psychology, and market structure, and how to navigate them.
Then, they get onto how they trade. They use 3 separate entry methods, which was an insight as to how they increase their odds of success. Also, their pyramiding, ie, adding onto a winning trade has made me contemplate a similar approach, rather than just taking a “linear” trade.

Their rules are based on using the Alligator indicator, which is available freely. Its 3 MAs, with various offsets.

The entries are called “wise men”. And there are 3 of them.

The Alligator gives direction, and trades are taken with respect to the Alligator.

The first Wise Man is a speculative reversal, where the direction of the Alligator diverges from the line of the price causing a “divergence signal”. The description of this is very similar to the Pin-bar, or Doji. Effectively, price has diverged away from the Alligator, and the assumption is there will be some sort of bounce back.

The second Wise Man is the use of the Awesome Oscillator. This is also freely available, and is a histogram of the differences between a 34-MA and a 5-MA. The trigger is 3 consecutive red bars readying for a short, or 3 consec green bars for a long. The bar that causes the trigger has to “break”, you don’t just trade the oscillator. That is, for a buy, the bar that triggered the buy, price must break the high of the trigger bar, etc. Similarly for sells.

The Third Wise Man is a Fractal breakout. This is simply a bar that has either a high with 2 bars either side of lower-highs, or a bar that has a low with 2 bars either side with higher-lows. This reminds me of DeMark.

Exits are the break of the lowest 3-5 bars to exit a long, or a break of the highest of the past 3-5 bars to exit a short.

They used pyramiding, in that the first Wise Man signal is entered with 1 lot (since its speculative), the second Wise Man entered with 5 lots, and the fractal entries with 4 and then 3. Total lots per trade being about 15.

The rest of the book is about metaphysical stuff about mindsets, exercises such as “morning paper”, where you write for 3 pages worth of “stream of consciousness”, to get out of your system the nagging thoughts and mind-chatter going on in your head.

Overall, the thing that I will take away from this book is experimenting with multiple entries to maximise a decent trend.
Thanks for your very useful summary of this book.
There are indicators for MT4 in relation to the wise man 1, and the wise man 2, please let me know if you would like them. There is less need for the Wise man 3 indicator as it is a fractal entry and you have described it, and indeed all of them well.
I addition to it I have also found the concept of angulation very helpful, and I trade it with other filters but on a shorter TFs.
2be is offline   Reply With Quote
Old Jun 18, 2009, 9:23am   #7
 
trendie's Avatar
Joined Jan 2004
trendie started this thread on FF I found a powerpoint of Chaos (Bill Williams). Have skimmed through it, thought it good as it gives a good overview.

Forex Factory - View Single Post - GBP/JPY BW CHAOS Trading
__________________
# If the only tool you have is a hammer, you tend to see every problem as a nail - Abraham Maslow
# There are 10 kinds of people in the world; those that understand binary, and those that dont. -Anon
# Ed Seykotas Whipsaw Song http://www.youtube.com/watch?v=LiE1V...Wlxk8&index=10
# Defeat is temporary. Giving up makes it permanent. Anon
trendie is offline   Reply With Quote
Old Sep 7, 2009, 7:18pm   #8
Joined Jul 2009
Mystical Ju Ju

L&G
Thanks for having me. I am trading price action normally, yet:
I am interested in the connection between solar activity (sunspots) and trading.
While conducting research on cycles, I have come across Ray, who introduced me to Alexander L Chizhevsky.
"Life is a phenomenon. Its production is due to the influence of the dynamics of the cosmos on a passive subject. It lives due to dynamics, each oscillation of organic pulsation is coordinated with the cosmic heart in a grandiose whole of nebulas, stars, the sun and the planet."
- Alexander L Chizhevsky

Alexander L. Chizhevsky (1897-1964) was a true interdisciplinary cycles researcher who studied relationships between cosmological variables such as the solar cycle and human health and behaviour including propensity to fighting wars. Most of Chizhevsky's work was published in French and Russian and so unfortunately still remains unknown to English readers.

Prof. S Ertel writes "Soon I found myself looking, with due sense of duty, at unconventional claims of disrespected authors. Is there anything at Alexander Chizhevsky's claim that variations of solar activity and dependent geomagnetic oscillations have any impact on human mental life? I there any evidence of his claim that changes of minds among masses of people are triggered by solar magnetism manifesting themselves as upheavals, revolts, civil wars, revolutions, and other forms of "power from below"? (Chizhevsky had been banished by Stalinist "power from above" to some gulag in Ural). I found weaknesses in the Russian's archival procedure. To my surprise, however, my scrutiny of this hypothesis based on own data corroborated the gist of his results. Fortunately, representatives of mainstream science in the West where tolerance is decreed by law could not simply react to this finding by jailing the researcher."

Physical Factors of the Historical Process (1.3 MB) Cycles January 1971 reprint of an earlier article discussing solar effects on human behaviour, especially relating to war and other disturbances.

So, Ray has been researching this matter and he has told me few things:

The solar cycle is observed to also be shown in events on Earth, particularly such things as the aurora.

The aurora is due to showers of charged particles hitting the ionosphere.
When more charged partciles hit the ionosphere, it increases the amplitude of teh Schumann resonance.
The Schumann resonance is a vibration of the Earth's electromagnetic field at a rate representing the time it takes e/m to travel around the Earth. That is at about 7.5 Hz because speed of light is 300,000 km/s and Earth circumference is 40,000 km. Ratio = 7.5 Hz. This is teh natural oscillation of the Earth's e/m field.

Human brain waves have a variety of different bands of speed. One of these is ~8 Hz. In other words the human brain is like a radio that is tuned to the Earth's natural broadcasting frequency. When the Schumann frequency is stronger then it influences people more. Closely related to this is the fact that when people are in a faster than 8 Hz field their reaction times are faster and when in a slower one they are slower.

Am I making any sense here?
Enough for it to be Mystical Ju Ju?
I would honestly be willing to apply it to stock market sentiment, anyone `s come across this things before?

regards
shatztrader is offline   Reply With Quote
Old Jul 10, 2011, 11:15pm   #9
2be
 
2be's Avatar
Joined Feb 2007
Re: Recommended Reading

Psychology of trading, Brett N. Steenbarger
Brett N. Steenbarger, a very easy and enjoyable to read as the author is both psychologist and a trader.
Very worthwhile reading on the subject of psychology and trading describing among many other useful insights the role of the bad patterns/ habits and the way to establish new patterns/ habits, replacing the old and dangerous patterns/ habits with the new patterns/ habits.
There are three book available at present:

The Psychology of trading - tools and techniques for minding the markets

Enhancing Traders Performance

The Daily Trading Coach - 101 lessons for becoming your own trading psychologist

All three books are very good to read.
The Daily Trading Coach is the latest book and contains some of the practical applications described in the previous too books, but in a shorter format of a "lesson", so if you are likely to buy only one of these books, I would probably recommend The Daily Trading Coach. These books are available on Amazon.
Wishing you to be a more relaxed and a better trader,
2be
2be is offline   Reply With Quote
Old Jan 10, 2012, 11:18pm   #10
2be
 
2be's Avatar
Joined Feb 2007
Re: Recommended Reading

Thinking, Fast and Slow, by Daniel Kahneman, though not directly related to trading the book describes the ways we take decisions and points to the strengths and weaknesses of "intuitive" and "statistical" way of making a judgement.
All said, it does encourage one to think, which is a more demanding and certainly a more profitable way of "doing" things, trading included.
For those who take time and effort to study this book the results might be very surprising, so please take some time and put some work to get the best out of this great book. Available on Amazon.
Trading demands clear thinking, hope this book will provide some insights and will assist a trader in achieving good profits by engaging our incredible potential of thinking "statistically".
Have a good read!
2be
2be is offline   Reply With Quote
Old Mar 1, 2016, 9:27pm   #11
2be
 
2be's Avatar
Joined Feb 2007
Harmonic Elliott Wave, The case of modification of R.N. Elliotts Impulsive Wave Structure, by Ian Copsey

As a useful introduction have a look at this article on the net;
http://www.harmonic-ewave.com/files/...e_Article2.pdf
Have studied that book years ago, it is good to refresh what is helpful.

Also have a look at the difference of an ABC corrective and a WXY structure.
http://elliottwave-forecast.com/tech...abc-structure/


Interesting when both approaches of the Impulsive and Corrective waves are applied together with some patterns and channels described by Bulkowki, Delta count, fibs and momentum indicators.

PS
I assume that people reading this thread are aware of books like, The Disciplined Trader, and Trading in the zone,by Mark Douglass, Intermarket Analysis by John Murphy, Elliott Wave Principle by Frost and Prechter, or Stene Nison on Japanese candlesticks, or indeed of many other classic books relating to trading.
__________________
A Trading Plan - You MUST Have One! http://www.trade2win.com/boards/home...ave-one-7.html
Outside of Trading Plan and Strategy there is chaos I am often tempted to explore but not with my trading capital!
When NOT TO TRADE is important, or even more crucial than to know when TO TRADE.
There is no trading without risk, do not think otherwise.
Without being stupidly greedy - grab what you can!
Without being too afraid - lose as little as you can!
2be is offline   Reply With Quote
Old Oct 14, 2016, 8:13pm   #12
2be
 
2be's Avatar
Joined Feb 2007
Tom Williams, "The Undeclared Secrets That Drive The Stock Market" and "Master the Markets"

Very important reading if one desires to study VSA (Volume Spread Analysis).
Well written, good study of the subject, very much worth to spend time getting the insights that this approach offers, such as show of strength or show of weakness and continuation of either.

Last edited by 2be; Oct 14, 2016 at 8:23pm.
2be is offline   Reply With Quote
Old Nov 4, 2016, 2:50pm   #13
2be
 
2be's Avatar
Joined Feb 2007
Quote:
Originally Posted by 2be View Post
Tom Williams, "The Undeclared Secrets That Drive The Stock Market" and "Master the Markets"

Very important reading if one desires to study VSA (Volume Spread Analysis).
Well written, good study of the subject, very much worth to spend time getting the insights that this approach offers, such as show of strength or show of weakness and continuation of either.
I would like to draw attention to some further reading on the subject related to VSA co-authored by Henry Pruden .
The titles of the articles; "Wyckoff Law and tests " and the other one is " Wyckoff Schematics: Visual templates for market timing decisions"
Please goggle to find them, print them and study the content carefully
The terminology in itself provides some valuable insights, eg: absorption, re-absorption and so on.

I would very much welcome some suggestion/s of book/s and articles on this subject that other traders found useful.

Please PM me or respond on this thread.

Profitable trading to all,
2be
2be is offline   Reply With Quote
Old Sep 15, 2017, 10:07pm   #14
2be
 
2be's Avatar
Joined Feb 2007
Mind over the Markets by James F Dalton - Updated edition

Mind over the Markets by James F Dalton - Updated edition

Good explanation of Market Profile principle.
I find that market profile, market statistic works well with the VSA, all related to volume and PA.

One needs to spend time studying them and working out how the correlation of these principles assist in making profitable trades.
VSA and Market profile have been used for some time, for me one does not exclude the other, they form an important part of my overall trading strategy.

Wishing all to have a great weekend,
2be
2be is offline   Reply With Quote
Old Mar 24, 2018, 12:17am   #15
2be
 
2be's Avatar
Joined Feb 2007
Principles by Ray Dalio

Principles by Ray Dalio, The book starts with personal biographical content, than develops into life principles followed by work principles.
Meritocracy - well explained and worthy to follow the idea to do things in a way that a greater positive outcome is continually achieved.
The principles are well explained and organised into a cognitive system that makes them easier to remember and apply.
Good book to study and to keep as a reference book also it is good to be able to lend this book to others one cares for.
__________________
A Trading Plan - You MUST Have One! http://www.trade2win.com/boards/home...ave-one-7.html
Outside of Trading Plan and Strategy there is chaos I am often tempted to explore but not with my trading capital!
When NOT TO TRADE is important, or even more crucial than to know when TO TRADE.
There is no trading without risk, do not think otherwise.
Without being stupidly greedy - grab what you can!
Without being too afraid - lose as little as you can!
2be is offline   Reply With Quote
Reply

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Similar Threads
Thread Thread Starter Forum Replies Last Post
Recommended reading? b4gt First Steps 6 Apr 4, 2009 9:27pm
Recommended Reading - Pivot Points & Bond Market Fundamentals mikeyk Educational Resources 0 Nov 21, 2004 3:32pm
recommended reading? sellickbhoy First Steps 0 May 22, 2004 5:20pm
Reading. bigtrade First Steps 10 Jan 15, 2004 6:24pm

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)