Books on day trading can teach you about strategy, risk management, psychology and a lot about technical analysis. Unfortunately, librarians and booksellers are not day traders. This makes tracking down the best books somewhat challenging. Fortunately, this page has detailed and collected the best books for beginners, top books for specific assets, as well as a breakdown of how different formats may best suit your individual needs.
Best eBooks for Day Traders
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ETX eBook Library
ETX Capital provides a broad library of eBooks for traders to use. From technical analysis to global trends, there are ebooks to help you whether you trade forex, commodities or stocks. All the resources are free and worth using.
Day trading books for beginners
When you decide to crash trade, you quickly realize how complicated strategies, charts, patterns, platforms and fees can become. All the more reason to use the resources around you to run the land. The best books for beginners keep it simple and provide step-by-step guides on how to choose a stock, implement strategy, and manage your capital and risk. Below are 3 of the best books for beginners.
1. A Beginner’s Guide to Day Trading Online, Toni Turner
Written by a trader and educator, the book provides clear direction and is also up to date with the development of the industry. You get a detailed overview of risk management, technical analysis, as well as how to set up a trading plan. Recent editions have been retitled ”A Beginner’s Guide to Short Term Trading ” The book is also a fantastic learning tool as it is packed with quizzes and checklists. The author also runs through all the basic jargon while somehow managing to keep you engaged. It is especially ideal for the day trader because it differentiates between short-term and long-term trading, the benefits, the risks and the concepts to focus on. “A Beginner’s Guide to Online Trading Online” on Google Books
2. Start Day Trading Now: Micheal Sincere, A Quick and Easy Introduction to Making Money While Managing Your Risk
Written from an experienced trader, this book focuses on technical analysis and also offers invaluable money management lessons. It initially centers on charts, patterns and indicators. You will then go through the practical aspects of your first trade. You also get the benefit of the audience through interviews with experienced traders, hopefully allowing you to avoid any of the pitfalls. Moreover, at less than 200 pages, this book is an easily digestible read for the aspiring trader. “Start the Day Trading: A Quick and Easy Introduction to Making Money While Managing Your Risk” in Google Books
3. Day Trading for Dummies, Ann C Logue
Although the author is not a trader, her book is diverse with a wide range of topics, making it ideal for those who want to gain a broad initial understanding. This book is less of a guide and more of information about every day trade under the sun. You won’t get detail, but that also means you won’t get lost. All this makes it one of the best books on trading for beginners. If you had to answer ‘what are the best books for beginners?’ All the texts above will appear at the top of the list. It gives you the platform to start on, as well as somewhere to turn to for answers. Remember, good diaries for beginners keep it simple. They guide you through the entire process, from choosing a stock and strategy, to psychology and risk management. ‘Day Trading for Dummies’ on Google Books
Best books
For those looking for more detailed books with in-depth technical analysis, advanced strategies and comprehensive information on all day trading, there are a number of books that you can turn to. Below, we’ve collected the top 10 books, taking into account reviews, ease of use, and comprehensiveness.
1. High Probability Trading: Take the Steps to Become a Successful Trader Marcel Link
This book focuses on the idea of only making trades when the odds are in your favor, so it covers how to set up your trades, and what to look for to know exactly what to trade and how much. The author draws on years of successful experience in the markets and you can benefit from his trial and error approach to avoid future mistakes yourself. It is well written and to the point, which makes it worthy of a place on this list. “High Probability Trading: Take the Steps to Become a Successful Trader” on Google Books
2. The Truth About Day shares, Josh DiPetrio
While many books sing about the potential riches, Josh DiPetrio emphasizes that day trading is not a get-quick scheme. His writings are easy to follow and you can tell that he really wants to make you aware of the dangers and advise you on how to manage them. There are some essential lessons you can take from this book, and you get the resounding feeling that you are getting the truth from the first chapter to the last. ‘The truth about day shares’ in Google Books
3. Mastery of the Trade, John Carter
This is one of the best books because there are so many detailed instructions on how to set up trades. He leaves no stone unturned as he breaks down numerous strategies and different markets. It is also well established as one of the best psychology books. If you are looking for a crystal clear guide to what, how, why, when and where, then this is the book you need. Also considered one of the best emini books, it cites real-life examples to prove points. ‘Mastering the Trade’ on Google Books
4. Day Trading and Swing Trading in the Forex Market: Technical and Fundamental Strategies for Profiting from Market Movements Kathy Lien
You can benefit from the experience of one of the most popular analysts in the forex world, as one of the best books for day trading. If you haven’t seen her on Bloomberg or CNN, you’re in for a treat. You will gain an insight into performing accurate market analysis, and the author is a great source of trading ideas. If you are looking for one of the best forex books then look no further. “Day Trading and Swing Trading in the Forex Market: Technical and Fundamental Strategies for Profiting from Market Movements” on Google Books
5. The Disciplined Trader: Developing Winning Attitudes, Mark Douglas
Many good books focus on technical analysis, strategy and risk management, but not as much on the complexities of trading psychology. As this book aptly highlights, you can have all the best strategies in the world, but without discipline you will struggle to make a profit. The book explains why not giving in to your emotions is harder than it sounds and offers you a wealth of tips to calm down and get into the right space. You also get advice on how to document your trading performance and reduce risks. ‘The Disciplined Trader: Developing Winning Attitudes’ in Google Books
6. Digital Day Trading, Howard Abell
Although not the best in the top five books, this text deserves a look. If you’re looking for an easy-to-understand book that doesn’t waste words, this is a wise choice. The author focuses on market philosophy and delves into his own trading psychology. You can also benefit from three interviews with successful day traders, with a variety of useful tips. The only thing to note is that this book was written during the extremely volatile period of the dotcom boom, so some information is out of date. ‘Digital Day Trading’ on Google Books
7. The Stock Trader: How I Earn a Living Trading Stock, Tony Oz
If you want strategies that you can take from the book and apply with ease, this is a great choice. You get a number of detailed strategies covering entry and exit points, cards to use, patterns to identify, plus a number of other indicators. This book is getting glowing reviews and is written in a poignant way, which appeals to a wide audience. This is not surprising as they are thought to be the best trading books of all time. ‘The Stock Trader: How I Made a Living Trading Stocks’ in Google Books
8. Range Trading, Micheal Young
If you are looking for a specific, honed strategy, this book deserves your attention. The book explains why most strategies like scalping struggle to overcome high intraday costs and fees. This then offers you a tried and tested alternative known as ‘serial trading’. It’s a self-proclaimed step-by-step guide, taking a complex system and making it easy to follow. If you’re looking for a high level of detail and an alternative approach, you’ll see why this is one of the best intraday trading diaries out there. “Range Trading” on Amazon
9. The simple strategy, Markus Heitkotter
If you are looking for general forex and options books, this will not disappoint. The success of this book comes from the clear instructions you get regarding entry and exit rules, how to profit from small intraday trends, plus advice on the software you do and don’t need. Plus, it’s written so you don’t have to be a rocket scientist to get through it. The author keeps it lighthearted and engaging throughout, which should make it one of the textbooks. ‘The Simple Strategy’ on Google Books
10. Day Trading Grain Futures: A Practical Guide to Trading for the Living David Bennett
If you are looking for specific futures books, then this deserves a look. There are no buzzwords; it offers practical advice from page one on how to trade futures effectively. First, you will hear why the author prefers day trading and why the futures market is specific to grain products. Then you get clear strategies, built on timeless trading concepts, that do not rely on highly technical and complicated indicators. You can also apply the philosophies and strategies found here to any number of intraday markets. “Day Trading Grain Futures: A Practical Guide to Trading” on Google Books
Live Webinars and Dealer Courses
ETX Capital currently offers a range of educational tools to traders. It is free to sign up for traders who have made a deposit of any size. More details can be found here. Courses are offered by in-house experts at ETX, and an independent trading company. This ensures a well-rounded service for those who have signed up. Most courses and webinars are delivered online.
Alternative formats
Thanks to the wonders of technology, you can now get audiobooks and ebooks for day trading. Audiobooks are great for listening to while driving, on the treadmill, or when you want to block out the noisy kids. It also allows you to take notes while listening, or apply the information to your platform in real time. You can also get books in pdf as free downloads. Just like e-books, if you open these in a separate window while trading, you can easily follow the instructions and put what you read into practice. You also have something you can quickly refer back to with just a click of the mouse.
Trade book books
These popular day trading books are an extremely useful tool that many people see to their detriment. This will allow you to keep a detailed record of all your trades. This can then be used to look back when looking for patterns, or if you want to test a potential strategy. The following are some important aspects:
- Enrollment Date
- Stock symbol
- Entry Price
- Total purchase price (including commission)
- Number of shares purchased
- Initial stop loss
- Profit target
- Exit Price
- Total selling price (including commission)
- Profit / loss (total sale-total purchase)
- Profit / loss% ({total sale – total purchase} -1)
Trade order books
It serves a different purpose than the best selling business books outlined above. An order book is an electronic list of buy and sell orders for your particular security or instrument, organized by price level. You can see which brokers are buying or selling the shares, and whether the market is pushed by institutions or retail investors. This will help you make informed and accurate decisions. It is also useful because it reveals imbalance in the order, giving you an indication of the asset direction in the short term. For example, if there was a significant imbalance between buy orders, this could indicate a move higher in the asset due to buying pressure.
Different markets, different texts
If you want day trading books for the UK, Europe, USA and Canada, all the books above are relevant and applicable to markets close to home. But if you want to look for markets on the other side of the world, you might want to look for books that are specific to the region. For example, if you want to get into the Indian stock market, you want books specific to day trading in India. One of the best books on day trading in India, which is also written by Indian authors, is ‘Intraday Trading Ki Pechan ‘ , by Ankit Gala and Jitendra Gala. Alternatively, ‘How To Make Money Trading With Charts’ by Ashwani Gujral also ranks highly in recent trading book reviews. If you want books with an Australian slant and also written by an Australian author, you might want to check out ‘Why Gold Matters ‘ by Peter J. August. ‘Adaptive analysis for Australian Stocks’ by Nick Radge also scores highly in reviews.
Final chapter
In general, online books are quite easy, but finding the right one for your needs is not always simple. Consider exactly what you want to learn before you buy. Are you looking for strategy books, books on forex, psychology or for beginners? Do you want a step-by-step guide, or just want to hear stories and advice from successful traders? Once you know this, decide which format the information will be easy to digest and simple to apply, hardcover, e-book, pdf or audiobook. It’s also always worth checking out an overview of the supposed ‘best trading books’, just to make sure you get exactly what you’re looking for.