When it comes to investing and trading, emotions naturally run high. You might be frustrated with a trade, but you might also be ecstatic about a new opportunity. Not surprisingly, you might find yourself in the middle of an emotional roller coaster as your emotions go from joy to frustration to thrill again. To help you better manage your feelings as you trade stocks, crypto, forex, or commodities, we’ve compiled the best books to help you keep an even keel.
Japanese Candlestick Charting Techniques | Steve Neeson
This book is a must-read for all traders. The author Steve Neeson has done a great job on this book, and it’s a must-read for any trader or investor. He teaches you how to use candlestick charts to identify patterns that can be used as indicators of future price movements.
This book will help you learn how to use Japanese candlesticks, read them, and apply them to your trading strategy. It also shows you how to use them with other charting techniques such as Fibonacci retracements, Elliott Wave Theory, and more.
Technical analysis. Plain and Simple | Michael Kahn
Technical Analysis is a field of study that can be used to analyze the price action of a stock, index, or commodity over time. It’s an excellent way for traders to make money, but it requires you to have some basic technical knowledge. Technical Analysis can take you from beginner to expert in no time, but it can also leave you with more questions than answers. If you’re starting with technical analysis, this book is a great place to start. It will teach you everything you need to know about charts, indicators, and how they work together so that you can make better trading decisions.
New Thinking in Technical Analysis | Rick Bensignor
Rick Bensignor’s New Thinking in Technical Analysis is a classic text for anyone who wants to learn more about technical analysis and charting.
The book is an excellent introduction to technical analysis, but it’s also helpful as a reference guide for experienced traders.
The book covers everything from fundamental analysis to price patterns and includes trading stocks, futures, and forex strategies.
It’s easy to read, with short chapters full of helpful information.
Technical Analysis from A to Z | Steven Achelis
An excellent book for anyone who wants to learn the basics of technical analysis. It’s written in a friendly and accessible tone, with plenty of examples and illustrations. The author covers everything from candlestick patterns to candlestick reversal candles, Fibonacci retracements, time and price relationships, moving averages, and more.
The book is packed full of practical suggestions on how to use these tools in your trading and what they can tell you about the market you’re trading.
Mean Markets and Lizard Brains | Terry Burnham
The book is based on the author’s experience as an active trader and investor over the past 15 years. He has also worked on Wall Street, where he was a derivatives trader at Goldman Sachs.
Burnham writes about how the markets behave, why they do what they do, and how to deal with them. He discusses his own experiences trading options, ETFs, futures, and stocks. He also talks about how he managed his emotions while trading and avoided going into a “lizard brain” mode that could lead to significant losses.
How I Trade for a Living | Smith Gary
This book is an excellent introduction to trading and investing, but it also has a lot of good information on managing emotions. It’s written by a trader who has spent many years trading for a living and is now teaching people how to do the same.
The New Market Wizards | Jack D. Schwager
The book is an excellent read for traders and investors. It’s not difficult, but it’s not a simple read either. Nevertheless, it has some great concepts that are very helpful to traders who want to take their trading to the next level.
Traders are often taught how to manage their emotions, but this book goes into more detail about how you can use your emotions as an advantage. For example, don’t panic and sell everything if you’re losing money. Instead, figure out why you’re losing money and try to correct that problem before it gets out of hand.
The Intelligent Investor | Benjamin Graham
This book is considered one of the best investment books ever written. In it, Benjamin Graham advises on managing your emotions during trading and investing. This is done by following a simple formula: buy when you feel happy, and sell when you feel depressed. He also recommends managing your risk by keeping it as low as possible while still making money. Lastly, he teaches you how to take advantage of market trends to make more money.
Fear, Greed, and Panic: The Psychology of the Stock Market | Cohen David
The highly anticipated book by former hedge fund trader David Cohen has received rave reviews. The book combines psychology, neuroscience, and finance research to help traders and investors manage their emotions.
Cohen covers many topics, including handling losses and making money in the market. He also covers how to deal with fear and uncertainty and overcome panic attacks.
Trading in the Zone | Mark Douglas
Trading in the Zone is a great book that provides an easy-to-read and practical guide to trading your way to financial freedom. The author’s strategies are simple and easy to follow. In addition, he provides plenty of examples to help you understand how he trades and how you can apply these strategies in your trading.
This book will help traders make money by applying simple but powerful principles proven over time. It’s also an excellent read for anyone who wants to learn more about stocks, commodities, and forex markets.
The Disciplined Trader | Mark Douglas
This is an excellent book for traders and investors who want to learn more about developing their trading skills. It’s written by Mark Douglas, one of the top traders at Goldman Sachs who later founded his own company called TradeMonster. The book is based on the idea that successful traders are disciplined people who know how to manage their emotions.
When trading and investing, emotions can be a significant factor in how well you do. Of course, the more experienced you are, the less impact these emotions have on your performance because you know what to expect. But for beginning traders or those just getting started, emotions can play havoc with their results.