Best Books for Traders in 2023

Written by: smm

on: 08/03/2023

Many people are looking for different ways to succeed in trading. Some take an online course, a private mentor, or decide to set a predetermined budget they can afford to lose in order to learn how to trade.

But in all cases, trading books are a great addition to any method or trading strategy you decide to take. These books can provide in-depth information, from technical analysis and trading psychology to understanding the dynamics of the markets, and picking the right financial instrument.

So, if you are looking for the best trading books you can find out there, then you’ve landed on the right page. Below, we have listed the top 8 trading books of all time for beginner and advanced traders.

#1. Technical Analysis by John Murphy

This book is considered the best manual for technical analysis. Even though this is a rather complex topic, the book and the narrative style are clear and straightforward. It also offers a ton of examples accomplished by detailed descriptions and pictures. The book covers basic tools and concepts for technical analysis, price patterns, and timeframes. You will also find information about strategies and various stock trading techniques.

#2. Trading with Dr. Edler

The experts often refer to this book as the trading bible. It has three sections covering various aspects of trading with a focus placed on money management and trading psychology. On top of that, the reader will learn how to manage trading risks. In this book, you will find answers to common questions that puzzle many newbie traders.

#3. Way of the Turtle by Curtis Faith

The so-called turtle experiment held by commodity traders Richard Dennis and William Eckhard is what lies at the heart of this book. In the 1980s, they decided to prove that virtually anybody can be taught to trade in the stock exchange. A contest was announced with 1,200 people willing to participate. 24 people got selected and were given one trading strategy. In the course of 24 months, they managed to earn 200 million U.S. dollars. What made this experiment so unique is that it was done back in 1986 when traders used nothing but their voices to make trades, without the help from computers which would come into the picture later on. The strategy that was used by those participating in the experiment implied that the trader could be wrong for 11 months. Only 10% of all trades produced the profits mentioned earlier.

#4. Art of War by Sun Tzu

This book offers a spectacular insight into the ways you can beat your opponents in various conflict situations. The bottom line is that the methods of waging war may change over time, yet its laws and human nature remain the same. The author claims that the art of war uses two key tools. These are tactics and strategies which help win any conflict before it reaches its climax. Based on this book, Dean Lundell wrote The Art of War for Traders and Investors, which describes how to apply Sun Tzu’s methods to attract profits in trading.

#5. Flash Boys by Michael Lewis

The latest book by Michael Lewis explores high-frequency trading in layman’s terms. The author talks about such trifles as sigma and its role in trading and shares a hilarious story about how banks paid big money to have their “black boxes” closer to the server than from competitors and they would get the advantage in centiseconds.

#6. The Art and Science of Technical Analysis by Adam Grimes

The art and science of technical analysis is a must-read for every trader who wants to become a technical analysis expert. The book was published in 2012 by Adam Grimes and offers insights on profitable technical analysis chart patterns and trading strategies.

#7. Charting and Technical Analysis by Fred McAllen

In this book, McAllen provides lots of information about technical analysis strategies, entry and exit levels, and setting stops and taking profits. Though the reviews indicate that the quality of the images is poor, it is still one of the favorite trading educational books you can find in the market.

#8. Market Wizards by Jack Schwager

The Market Wizards, which was originally published in 1989, is a collection of interviews with dozens of successful traders who share their insights and stories about the trading world. This book includes a T-bond futures trader who succeeded to leverage $25,000 into $2 billion in a single day.