Goldman Sachs’ Recommended Reading List – Written About, By or For Money Managers and Traders
by Jacob Wolinksy
Goldman Sachs put together a list of the best books and it is impressive and long – unfortunately it is hard to sift through since it just has the title and the author without any information on the book so we are helping you out by filing in that info. If you want to find the full list go here. Note: we do not endorse the short term trading strategies (well we really do not officially endorse anything) but to keep the list complete we have included all descriptions of books below. Because this is lengthy we will be breaking them up by section so stay tuned for more - which brings to that first the sections.
So we start with ….
Written About, By or For Money Managers and Traders:
Market Wizards: Interviews with Top Traders by Jack D. Schwager
This book is a series of interviews with 18 of the top stock, option and commodity traders of the day when it was written in 1990. Most were unknown to the public, and even to most professional investors, until Jack Schwager ferreted them out and amazingly convinced these “traders who neither need nor seek publicity” to allow him to interview them and publish their stories. Now, 23 years later, Schwager’s “Wizards” are the stuff of legend among speculators both professional and amateur.
The interviews are divided into five groups: futures traders, stock traders, outliers (hard to classify), floor traders and a trader psychologist. There are two postscript sections, one describes a personal experience of Schwager’s as a trader, and the other an interesting story told by an anonymous top trader about dreams and trading.
The New Market Wizards: Conversations with America’s Top Traders by Jack D. Schwager
In The New Market Wizards, successful traders relate the financial strategies that have rocketed them to success. Asking questions that readers with an interest or involvement in the financial markets would love to pose to the financial superstars, Jack D. Schwager encourages these financial wizards to share their insights. Entertaining, informative, and invaluable, The New Market Wizards is destined to become another Schwager classic.
• Stock Market Wizards: Interviews with America’s Top Stock Traders by Jack D. Schwager
The third in the bestselling Market Wizards series, this time focusing on the barometer of the economy – the stock market.
It has been nearly a decade since the publication of the highly successful The New Market Wizards. The interim has witnessed the most dynamic bull market in US stock history, a collapse in commodity prices, dramatic failures in some of the world's leading hedge funds, the burst of the Internet bubble, a fall into recession and subsequent rumblings of recovery. Who have been the market wizards during this tumultuous financial period? How did some traders manage to significantly outperform a stock market that during its heyday moved virtually straight up?
This book will feature interviews with a variety of traders who achieved phenomenal financial success during the glory days of the Internet boom. In contrast with the first two Market Wizard books, which included traders from a broad financial spectrum – stocks, bonds, currencies and futures – this volume will focus on traders in the stock market.
• Trader Vic: Methods of a Wall Street Master by Victor Sperandeo
Trader Vic — Methods of a Wall Street Master Investment strategies from the man Barron’s calls “The Ultimate Wall Street Pro” “Victor Sperandeo is gifted with one of the finest minds I know. No wonder he’s compiled such an amazing record of success as a money manager. Every investor can benefit from the wisdom he offers in his new book. Don’t miss it!” –Paul Tudor Jones Tudor Investment Corporation “Here’s a simple review in three steps: 1. Buy this book! 2. Read this book! 3. See step 2. For those who can’t take a hint, Victor Sperandeo with T. Sullivan Brown has written a gem, a book of value for everyone in the markets, whether egghead, novice or seasoned speculator.” –John Sweeney Technical Analysis of Stocks and Commodities “Get Trader Vic-Methods of a Wall Street Master by Victor Sperandeo, read it over and over and you’ll never have a losing year again.” –Yale Hirsch Smart Money “I have followed Victor Sperandeo’s advice for ten years, and the results have been outstanding. This book is a must for any serious investor.” –James J. Hayes, Vice President, Investments Prudential Securities Inc. “This book covers all the important aspects of making money and integrates them into a unifying philosophy that includes economics, Federal Reserve policy, trading methods, risk, psychology, and more. It’s a philosophy everyone should understand.” –T. Boone Pickens, General Partner Mesa Limited Partnership “This book gave me a wealth of new insights into trading. Whether you’re a short-term trader or a long-term investor, you will improve your performance by following Sperandeo’s precepts.” –Louis I. Margolis Managing Director, Salomon Brothers, Inc.
• Trader Vic II: Principles of Professional Speculation by Victor Sperandeo
The man Barron’s dubbed “the ultimate Wall Street pro” returns with a stunning follow-up to his bestselling Trader Vic–Methods of a Wall Street Master (“The best investment book of 1992”–The Stock Trader’s Almanac). Take an advanced class in his patented trading and investment philosophy and learn how the master makes better investment decisions . . . deciphers economic theories and uses them to predict investment outcomes . . . cuts through the lies, fallacies, and distortions that muddle and confound trading and investment decision making . . . and much more!
What the experts said about Trader Vic–Methods of a Wall Street Master . . .
“Victor Sperandeo is gifted with one of the finest minds I know. No wonder he’s compiled such an amazing record of success as a money manager. Every investor can benefit from the wisdom he offers in his new book. Don’t miss it!” –Paul Tudor Jones, Tudor Investment Corporation.
“Here’s a simple review in three steps: 1. Buy this book! 2. Read this book! 3. See step 2. For those who can’t take a hint, Victor Sperandeo with T. Sullivan Brown has written a gem, a book of value for everyone in the markets, whether egghead, novice, or seasoned speculator.” –John Sweeney, Technical Analysis of Stocks and Commodities.
“Get Trader Vic–Methods of a Wall Street Master by Victor Sperandeo, read it over and over and you’ll never have a losing year again.” –Yale Hirsch, Smart Money.
• Exceptional Trading: The Mind Game by Ruth Barrons Roosevelt
This book is written to give traders a winning edge. Winning eludes some 80 to 90 percent of people who trade.
Each year millions of dollars are spent creating and buying and selling trading systems. Hopeful traders seek the holy grail only to find that their latest acquisition doesn’t work or they can’t work it. Information flow is instant and vast. Computers calculate and grind out data 24 hours a day around the globe. Every conceivable edge is sought and provided. And still traders lose.
The rules for good trading are simple and understandable: Buy low, Sell high, or buy high and sell higher. Sell low and buy lower. Cut your losses. Let your profits run. Never overtrade. Act promptly on signals to enter and exit. Trade a proven winning system or strategy as it was designed to be traded; i.e., take every signal and stay the course. Control and balance fear and greed.
But traders don’t follow the rules, not even the rules they commit to following. As the Book of Common Prayer says, “That which I would do, I do not; and that which I would not do, that I do.” The prayer goes on to say, “And there is no health in me.” It’s a simple human condition which becomes writ large in trading.
The good news is that some traders do win. They win consistently over time. Success leaves clues. This book examines the clues and shows traders seeking to win how to run their own minds the way winning traders do.
It’s not enough to simply know how to think or what to think. It’s important to do it. This book outlines proven techniques for making the necessary mind shifts that will enable a trader to create a mental winning edge. Trading is, after all, mind over markets, quick action, clear thinking, and an unclouded intent to win.
• Trading to Win: The Psychology of Mastering the Markets by Avi Kiev
A breakthrough program for achieving new heights of trading success
The product of a five-year collaboration between Dr. Ari Kiev, a leading psychiatrist renowned for his success with Olympic athletes, and top equities trader Steve Cohen, Trading to Win gives you the essential tools to overcome outmoded, self-limiting beliefs and mindsets that may be keeping you from a higher level of success. Illustrated with real market scenarios and applications, this powerful program will help psych you into a less stressful, more self-possessed mastery of the trading game and help you reach goals you may never have thought possible.
“The strategies in this book will unleash the hidden trader in you, and can substantially increase your trading profits.” –Jay G. Goldman, Hedge Fund Manager.
“Ari Kiev has written a wonderful guide for money managers, traders, brokers, and investors alike. Sharing his thoughts with us regarding our behavior patterns enables us to take a step back and look at ourselves more objectively.” –Seymour W. Zises, President and CEO, Family Management Corp.
The trading arena has produced its share of select “super-traders,” market practitioners who set themselves apart from the rest of the field with one distinct advantage: mental and emotional toughness. Like outstanding athletes who stay focused, remain calm, and stick to their game plan, these master traders in this highly risky, highly competitive arena possess an edge that keeps them from being distracted by fear, self-doubt, greed, and other emotional components that can cause major losses and prevent gains from soaring to new highs.
Trading to Win presents a step-by-step, goal-oriented program for building the mental and emotional stamina not only to win, but to win on an unprecedented level. Created by a leading psychiatrist for a top trading firm, this proven approach spotlights a set of philosophical and behavioral principles designed to assist you in implementing proactive trading strategies, as well as developing the mindset needed to trade effectively in the realm of uncertainty. Delving into your underlying thought processes when you trade, Trading to Win enables you to understand what is motivating you, whether it is consistent with your game plan, and whether you are in any way sabotaging yourself.
Fully supplemented with real market trading scenarios, Trading to Win shows you how to apply key concepts where it counts–in actual trading room situations. For both professional traders and sophisticated investors, this remarkable program offers a rare opportunity for both personal and financial gain
• The Disciplined Trader: Developing Winning Attitudes by Mark Douglas
One of the first books to address the psychological nature of how successful traders think ~ The Disciplined Trader is now an industry classic. In this groundbreaking work published in 1990 ~Douglas examines the causes as to why most traders cannot raise and keep their equity on a consistent basis ~ and brings the reader to practical and unique conclusions as to how to go about changing any limiting mindset. The trader is taken through a step-by-step process to breakthrough those queries ~ and begin to understand that their very thoughts may be limiting their ability to accumulate and succeed at trading.
• Stan Weinstein’s Secrets For Profiting in Bull and Bear Markets by Stan Weinstein
Stan Weinstein’s Secrets For Profiting in Bull and Bear Markets reveals his successful methods for timing investments to produce consistently profitable results.
Topics include:
- Stan Weinstein’s personal philosophy on investing
- The ideal time to buy
- Refining the buying process
- Knowing when to sell
- Selling Short
- Using the best long-term indicators to spot Bull and Bear markets
Odds, ends, and profits
Trading in the Zone : Maximizing Performance with Focus and Discipline by Ari Kiev
Overcome the obstacles that can prevent you from winning at the trading game
A trader’s emotional state is vital to being a successful investor. There are many psychological factors that can affect the decisions one makes in the course of a trading day. This book focuses on overcoming issues such as anxiety, fear, and over-ambition so that traders can become more focused and be more successful-in other words, enter the zone-and stay in it as long as possible.
• Trading With Crowd Psychology by Carl Gyllenram
LET THE SOUND OF THE CROWD HELP YOU CREATE A SUCCESSFUL TRADING PLAN
Praise for Carl Gyllenram and Trading with Crowd Psychology
“Investing is first and foremost a psychological process and good market technicians are really psychologists. Mr. Gyllenram understands this and his book offers deep insight into the psychology of the trading range, the area from which big moves-up and down-emerge.”
–John Bollinger CFA, CMT, President, www.EquityTrader.com
“Every trader and investor will recognize themselves and their habits (good and bad) among the characters whose trading decisions are so vividly described in this book, and all should discover ways of improving those trading decisions. A very timely publication.”
–Michael Smyrk Global Coordinator, International Federation of Technical Analysts
“Carl Gyllenram takes a new approach to looking at the workings and importance of crowd psychology in the financial markets … [he] shows a clear understanding of the subject, providing a thoroughly useful addition to the writings on crowd psychology.”
–Anne WhitbyFSTA, Vice Chairman, Society of Technical Analysts UK
“We are an emotional species and seldom more so than when dealing with money. It is this raw human factor that creates most of the volatility in all financial and commodity markets, not economics … With this book Carl Gyllenram has made an important contribution to the subject of Behavioral Technical Analysis.”
–David Fuller Global Strategist at Stockcube Research Ltd. Writer of the Fullermoney investment letter
• Pit Bull: Lessons from Wall Street’s Champion Day Trader by Martin S. Schwartz et al
Welcome to the world of Martin “Buzzy” Schwartz, Champion Trader–the man whose nerves of steel and killer instinct in the canyons of Wall Street earned him the well-deserved name “Pit Bull.” This is the true story of how Schwartz became the best of the best, of the people and places he discovered along the way and of the trader’s tricks and techniques he used to make his millions.
Swing trading is gaining popularity as a powerful method to increase returns—and potentially lower risks—by profiting from short-term price moves. The Master Swing Trader explains how traders can use technical analysis, charting, and market sentiment to make trades that hold through price fluctuations and noise with wider stops. This complete, practical guide to making profitable short-term trades—based on the author’s popular “Mastering the Trade” online course—uses dozens of charts and graphs to illustrate proven swing trading concepts and strategies. Experienced day, position, and online traders will benefit immediately from: – The 7 Bells – unique tools to uncover promising short-term prospects – Techniques to profit from low-risk short sales – The 4 repeating cycles for perfectly timed trades
• How to Trade In Stocks by Jesse Livermore
Jesse Livermore was a loner, an individualist-and the most successful stock trader who ever lived. Written shortly before his death in 1940, How to Trade Stocks offered traders their first account of that famously tight-lipped operator’s trading system. Written in Livermore’s inimitable, no-nonsense style, it interweaves fascinating autobiographical and historical details with step-by-step guidance on:
- Reading market and stock behaviors
- Analyzing leading sectors
- Market timing
- Money management
- Emotional control
In this new edition of that classic, trader and top Livermore expert Richard Smitten sheds new light on Jesse Livermore’s philosophy and methods. Drawing on Livermore’s private papers and interviews with his family, Smitten provides priceless insights into the Livermore trading formula, along with tips on how to combine it with contemporary charting techniques. Also included is the Livermore Market Key, the first and still one of the most accurate methods of tracking and recording market patterns
• The Market Maker’s Edge: A Wall Street Insider by Josh Lukeman
This book will let you see the little-known but effective trading tactics and methods of today’s top market makers.”–Technical Analysis of Stocks and Commodities
Active traders must get inside the head of the all-important market maker–“The Ax”–before they can begin to truly compete.
The Market Maker’s Edge, written by longtime ax Josh Lukeman, is the first inside look at how axes think, what they look for, and, most important, how they can be beat.
• The Super Traders: Secrets and Successes of Wall Street’s Best and Brightest by Alan Rubenfeld
This behind-the-scenes look at Wall Street not only contains candid personal accounts of these heavy hitters, but their trading secrets and philosophies as well. Some of the secrets and strategies revealed here include valuable insights into: Options Trading, Hedge Fund Trading, Sales Trading, Buyside Trading, Third-Market Trading, Block Trading, Electronic Trading, Institutional Trading and Program Trading. The unadulterated insights presented here make this a one-of-a-kind book written by, for and about traders. Contributors include: Bob Scavone: Set the Standard for NYSE Specialists, Victor “Trader Vic” Sperandeo: Market “Prophet”, Joseph Apisa: Master Sales Trader, Evan Schulman: Pioneer in Electronic Trading, Jon Najarian: Renowned Options Trader, Frank Baxter: fading Third-Market Trader, Jay Mangan: Esteemed Industry Spokesperson, Stephen Bodurtha: Program Trader Extraordinaire, Denny Engelman: Premier Floor Broker.
• Zebra In Lion Country by Ralph Wanger with Everett Mattlin
Ralph Wanger explains the principles of investing in small, rapidly growing companies whose stocks represent good value. Anyone who invested $10,000 in his Acorn Fund at its inception in 1970 would have $618,000 at the end of 1996. But whether you are investing in mutual funds or buying individual stocks on your own – or doing both – A Zebra in Lion Country offers an investment philosophy that will carry you through the rough spells and bring you greater wealth over the long term. Famed for his witty, insightful reports to shareholders, Wanger displays his irreverent savvy in this guide to locating small company “value” stocks that will yield well-above-average returns. As the title suggests, investors are like zebras in lion country: They must settle for half-eaten grass in the middle of the herd, or seek fresh grass at the outer edge, where hungry lions lurk. Wanger shows every investor how to achieve the right balance of safety and risk, and imagination and discipline, to survive and prosper in the investment jungle. Destined to become a classic in the field of investing, A Zebra in Lion Country is as entertaining as it is instructive.
• Technical Analysis of the Financial Markets by John J. Murphy
This outstanding reference has already taught thousands of traders the concepts of technical analysis and their application in the futures and stock markets. Covering the latest developments in computer technology, technical tools, and indicators, the second edition features new material on candlestick charting, intermarket relationships, stocks and stock rotation, plus state-of-the-art examples and figures. From how to read charts to understanding indicators and the crucial role technical analysis plays in investing, readers gain a thorough and accessible overview of the field of technical analysis, with a special emphasis on futures markets. Revised and expanded for the demands of today’s financial world, this book is essential reading for anyone interested in tracking and analyzing market behavior.
• Hit and Run Trading: The Short-Term Stock Traders’ Bible by Jeff Cooper
Jeff Cooper is back with a newly updated Hit & Run Trading Volume I. Delivering a day-by-day trading plan of attack, this comprehensive manual is your key to conquering the market on a daily basis.
Join Jeff as he reveals his most intimate winning methods for daytrading and short trading the market. While the traditional “buy and hold” strategy may work well in bull markets, Cooper’s “Hit & Run” methods work in ALL markets. His easy to follow methods will show you exactly:
- Which stocks to focus on each day
- Where to place your buy stops and sell short stops
- The precise amount of risk you should take
- And how to take the psychology out of trading in his new “Mind Over Money” chapter!
• Hit and Run Trading II: Capturing Explosive Short-Term Moves in Stocks by Jeff Cooper
Following up on his original collection of trading methods in Hit & Run Trading, is Jeff Cooper’s second and equally exceptional book, Hit & Run Trading Volume II – recently updated!
Discover how to capture the explosive moves in stocks in his latest work containing:
- 16 personal trading strategies
- Readily identifiable patterns you can consistently count on
- Over 200 information-packed pages in a large 8½ x 11 format
- 21 fully illustrated chapters with over 100 sample charts of real trades
- Cooper’s finest learning sheets that will serve as your personal coach on a daily basis
- PLUS answers and insight into the most frequently asked questions about short-term trading
With or without Volume I, you’ll find plenty of new, high-profit potential strategies and methods in Jeff Cooper’s newly updated Hit and Run Trading II.
Published in 1996 and written by Larry Connors and “New Market Wizard” Linda Raschke. This 245 page manual is considered by many to be one of the best books written on trading futures. Twenty-five years of combined trading experience is divulged as you will learn 20 of their best strategies.
Among the methods you will be taught are:
* Swing Trading – The backbone of Linda’s success. Not only will you learn exactly how to swing trade, you will also learn specific advanced techniques never before made public!
* News – Among the strategies revealed is an intra-day news strategy they use to exploit the herd when the 8:30am economic reports are released. This strategy will be especially appreciated by bond traders and currency traders.
* Pattern Recognition – You will learn some of the best short-term set-up patterns available. Larry and Linda will also teach you how they combine these patterns with other strategies to identify explosive moves.
* ADX – In our opinion, ADX is one of the most powerful and misunderstood indicators available to traders. Now, for the first time, they reveal a handful of short-term trading strategies they use in conjunction with this terrific indicator.
* Volatility – You will learn how to identify markets that are about to explode and how to trade these exciting situations.
* Also, included are chapters on trading volatility, trading Crabel, trading the smart money index, trading gap reversals, a special chapter on professional money management, and many other trading strategies!
• The 5 Day Momentum Method by Jeff Cooper
In his first book, Hit & Run Trading, Jeff Cooper taught traders how he has made his living day-trading stocks over the past decade. The book is such a success that it is now back for its fifth printing in its first 18 months.
Now, for the first time, Jeff Cooper releases the 5 Day Momentum Method — his most powerful trading system for those traders who are looking for substantial 3 – 7 day gains.
How The 5 Day Momentum Method Works:
Rapidly moving momentum stocks always pause before resuming their trend. The 5 Day Momentum Method will teach you how to identify the exact day and price to enter these stocks before they explode again. You will usually risk only 1-2 points and your upside potential is 5 – 20 points, all within 5 days!
• The Real Holy Grail: Money Management Techniques of Top Traders by Eddie Kwong
Have you ever had a stock up 10 points, only to have it turn into a loss in a blink of an eye?
The key to attaining success as a trader is to minimize your losses. In this book, you will receive detailed Money Management lessons from the combined wisdom of Jeff Cooper, Mark Boucher, Dave Landry, Kevin Haggerty, and many more experts.
This collection of secrets from the world’s Top Traders will teach you: how to use different types of orders to get the best possible price and execution, how to place and trail stops, how to manage positions, how to scale in their position, how to adjust position size relative to account size, how to properly use leverage, how to have the discipline to do the right thing, and more.
The strategies and techniques assembled in this book will give you the tools and insight needed to make better trading decisions, ultimately becoming a smarter trader. This book is a must for anyone who has the drive to be successful where others have failed.
• Trading Connors VIX Reversals by Laurence A. Connors and Gregory Che
Here is Larry Connors First Published Research In Over Three Years!
In this just released guide, you will learn 10 strategies to trade the VIX. Five of these strategies have never been published before! Connors VIX Reversals have correctly predicted the direction of the S&P’s over the past 8 1/2 years approximately 65% of the time within a 2 to 3 day period. Some of these indicators have correctly predicted the market direction nearly 70% of the time!
Within this book you will learn….
The new CVR strategies taught in his manual are even better than the originals. As powerful as the original signals were, these new signals have pushed the envelope…with some performing with nearly 70% accuracy.
Trading market sentiment? As you know the VIX is one of the best ways to measure market sentiment. But, no one has ever measured and quantified the VIX the way Connors and Che do.
Courtesy of valuewalk.com and philstockworld.com