📚TraderLion’s Recommending Reading List 📚 (Thread)
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1. How To Make Money in Stocks - William O’Neil
William J. O'Neil is the founder @IBDinvestors. His #CANSLIM methodology and studies have influenced us at TraderLion & many authors including those in this thread.
Reminiscences is the biography of Jesse Livermore, one of the greatest speculators who ever lived. More than 80 years later, it is still one of the most highly recommended investment books ever written.
Livermore started trading in securities when he was fourteen years old. This book is derived from a series of interviews between Richard Wyckoff and Jesse Livermore from the 1920s.
Douglas uncovers the underlying reasons for lack of consistency and helps traders overcome the mental habits that cost them money. This is a MUST-READ for all traders/investors.
The Disciplined Trader focuses on how traders can take control of their trading behavior by developing a systematic, step-by-step approach to winning week after week, month after month.
7. How I Trade and Invest in Stocks - Richard Wyckoff
Wyckoff leverages over 33 years of experience in the markets in this book. His primary reason for writing this was to help new investors who find the markets too complex.
8. Secrets for Profiting in Bull and Bear Markets - Stan Weinstein
All traders/investors should read this book as it offers the skeleton of which phases stocks go through again and again over many years. Timeless principles.
11. Lessons from the Greatest Stock Traders of All Time - @monsterstocks1
This book follows Livermore, Bernard Baruch, Gerald Loeb, Darvas, and WON and emphasizes their processes and common characteristics even as they traded in different time periods.
12. Market Wizards: Interviews with Top Traders - @jackschwager
Schwager interviewed dozens of top traders and while the details differed, they can all be boiled down to the same formula: solid methodology + proper mental attitude = trading success.
13. Unknown Market Wizards: The Best Traders You’ve Never Heard of - @jackschwager
This book continues on the popular Market Wizards series, interviewing exceptionally successful traders to learn how they achieved their performance results.
Minervini unveils his trademarked stock market method SEPA, which combines careful risk management, self-analysis, and perseverance. He explains his process for achieving triple-digit returns.
16. Technical Analysis Using Multiple Timeframes - @alphatrends
This book is an excellent introduction to technical analysis and reading price action. It goes through how to read trends, market structure, and the psychology of price movement.
This book covers a series of experiments that identifies a feedback loop between testosterone & success that is responsible for how we feel after a winning or losing streak. Very fun read.
18. 24 Essential Lessons for Investment Success - William O’Neil
We had to end with another book from WON! This one breaks down his 40 years of experience studying the markets into a handful of easy-to-digest lessons.
19. How I Made $2,000,000 in the Stock Market - Darvas
Let's not forget Darvas! In this book, he documents his techniques including his unique Box system. This is a classic even to this day and we highly recommend reading it.
Stanley Druckenmiller hasn't had a losing year in his entire 4.5 decades as a trader.
He recently sat down for a talk that every retail investor/trader needs to listen to.
We've broken it down for you into 10 clips (covering TA, risk management, selling losers, & much more):
As we said above, Druck's never had a down year.
We're sure you can imagine why that's important, but he says drawdowns are stressful, and staying out of them keeps you level headed.
More ↓
One idea Druck is obsessed with right now?
Whether we're in 1970s or not when referring to inflation.
No matter what you think about the macro, it's valuable to see the world's top investor looking for historical precedents to help him position in current times.
It only takes catching one big move to change your entire year & potentially your career.
The only way to do this is by studying historical winners.
Here's a deep dive on how you could have traded $ADMA, which is up over 325% YTD ↓
Key Characteristics:
→ Highest Volume In 1 Year (HV1)
→ High Volume Close Entry Tactics
→ Key Moving Average Respect
→ Relative Strength Phases
Let's take a deep dive into each one of the key characteristics above:
Highest Volume In 1 Year (HV1)
When a stock displays HV1 after an earnings report, institutions are showing us that new fundamental information has changed their outlook on the stock.
The magnitude of volume tells us follow up buying is likely to occur over the coming weeks.
If you're consistently frustrated by losing money buying breakouts that quickly reverse & stop you out, it's time to add buying pullbacks into your toolbox.
Here's the exact framework you need to profitably buy pullbacks in an uptrend (& finally make progress as a trader):
US Investing Champ @OliverKell_ has shared each step in his Price Cycle system, which was the foundation for his record breaking 941% return in '20.
In it, there are specific patterns that form during uptrends:
· Wedge Pop
· EMA Crossback
· Base N' Break
A visual:
Wedge Pops & Base N' Breaks are the traditional breakout buys—where you're expecting a new wave of momentum to continue higher in the price cycle.
These spots work, but if you're late & missed them, you need another way to get in...