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10 Best Books on Intraday, Swing, and Options Trading

Updated: Feb 21

When it comes to learning about Trading and Investment, the internet provides plenty of options. Besides, Amazon has millions of books on the topic of ‘Stock Market Trading.’ However, it’s tricky for beginners and intermediate-level traders to find good books on Trading and Investment.

Here I have compiled a list of some of the best books that can guide anyone looking to boost their Trading or Investment skills. So, be with me for the next few minutes for the insight and short review of all these books.

Top-10 stock market trading & investing book 2021 -


1 - Reminiscences of a stock operator

2 -Trading in the Zone

3 - How I Made $2,000,000 in the Stock Market

4 - One Up On Wall Street

5 - Mind Over Markets

6 - Trade like a casino

7 - Stan Weinstein's Secrets for Profiting in Bull and Bear Markets

8 - How to Make Money in Stocks

9 - How to Day Trade for a Living

10 - Price Action Breakdown

11 - Bonus

12 - Summary

|Also Read: Top 10 Most Influential Books to Change Your Life

Best Stock Market Trading Books

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1. Reminiscences of a Stock Operator

This book is recommended for all types of traders.

This book is ranked #1 on my list of 10 must-read books on the stock market. I have multiple versions and copies of this book. It is written by Edwin Lefevre and can be described as a fictionalized biography of Jesse Livermore, one of the most famous and debated traders of all time.

Jesse was known as "Boy Plunger" for his ability to make money in the bucket shops. Later, he also got the title "The Great Bear of Wall Street" as he made several million dollars during the 1907 and 1929 market crashes. He was carrying a massive short position during the 1929 crash and made over 100 Million Dollars, which is equivalent to 1.5 Billion in today's dollars.

Jesse started his carrier as a quotation board boy in a broker office. He was fascinated by the price fluctuations and maintained a diary to log his observation every day. It's only after receiving a "hot tip" from a colleague; he jumped into betting in bucket shops to put his theories into practice. Very soon, he started making good money in bucket shops, and all of the bucket shops banned him. Left with no choice, he moved to New York and created havoc many times on Wall Street.

During his stint at the initial stage, Jesse experienced both wild successes and massive failures. He was a contrarian in some of the approaches and looked at markets in many ways that others simply did not understand. Jesse made a fortune on trades that are placed before the earthquake in 1906. After this incident, he became a known figure on Wall Street.

Even though it's a century-old book, the advice which is present in the book is still relevant today; after all, whatever happens in the stock market today has happened before and will happen again.

One of the book's lessons is that Jesse made money when he followed his own advice and lost it when he followed others.

Jesse is considered a great trader of all time. There are many debates over his death and fortune at the time of death. Besides, his trading style (going bankrupt a few times) may not get the nod from investment giants like Warren Buffet, Charles Munger, and John C. Bogle. However, this book is a must-read book for all the traders because of the many remarkable lessons. It's also a fascinating guide to the psychological aspects of trading. I have copied some of the lessons here:

10 Quotes from Reminiscences of a Stock Operator

- There is nothing new in Wall Street. There can’t be because speculation is as old as the hills. Whatever happens in the stock market today has happened before and will happen again.

- I always made money when I was sure I was right before I began. What beat me was not having brains enough to stick to my own game — that is, to play the market only when I was satisfied that precedents favored my play.

- They say there are two sides to everything. But there is only one side to the stock market, and it is not the bull side or the bear side, but the right side.

- A man cannot be convinced against his own convictions, but he can be talked into a state of uncertainty and indecision, which is even worse, for that means that he cannot trade with confidence and comfort.

- The big money in booms is always made first by the public-on paper. And it remains on paper.

- There is nothing like losing all you have in the world for teaching you what not to do. And when you know what not to do in order not to lose money, you begin to learn what to do in order to win. Did you get that? You begin to learn!

- It never was my thinking that made the big money for me. It always was my sitting. Got that? My sitting tight! It is no trick at all to be right on the market. You always find lots of early bulls in bull markets and early bears in bear markets. I've known many men who were right at exactly the right time and began buying or selling stocks when prices were at the very level which should show the greatest profit. And their experience invariably matched mine--that is, they made no real money out of it. Men who can both be right and sit tight are uncommon.

- Men who can both be right and sit tight are uncommon. I found it one of the hardest things to learn. But it is only after a stock operator has firmly grasped this that he can make big money. It is literally true that millions come easier to a trader after he knows how to trade than hundreds did in the days of his ignorance.

- No man can always have adequate reasons for buying or selling stocks daily - or sufficient knowledge to make his play an intelligent play.

- A stock operator has to fight a lot of expensive enemies within himself.

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2. Trading in the Zone

This book is recommended for intermediate-level traders to experts in trading.

In this book, Douglas uncovers the underlying reasons for the lack of consistency. He also highlights some of the habitual problems rooted in the subconscious mind, which triggers losing trades. Besides, he also offers the methods to face them in the best way possible.

Douglas draws on years of experience in futures trading and coaching professionals about making money in the market. His book contains so many valuable lessons that it’s difficult to summarize all of them in a single post, so let me focus on the essential points.

The first such habit is an addiction that new traders experience when they can get decent profits from a random trade. Due to this, many expect to get a random winning trade now and then, without much consciousness about the losing streaks and overall market conditions. The recorded memory in the subconscious mind of that great moment where luck struck in 1-2 profitable trades, motivates to keep trying.

Another major problem why even smart people fail in trading is their reaction to a given loss. Nobody likes losing money in any venture, and when it happens in trading, it always impacts anyone’s behavior. In trading, one has to realize there is a probability of taking a loss. A trader needs to understand that this risk is part of the business; accepting it and keeping it minimal makes you on the right path to get success in trading and avoid spontaneous reactions, which are mainly driven by uncontrolled emotions from the mind.

The next major issue is about our emotions when an excellent trading opportunity is missed. Our compulsive ego pushes us to chase those missing moves, and we end up with many unnecessary trades. Besides, a trader also needs to consider the risk for every trade.

This book revolves around these issues; it explains how these issues can trouble us and offer many solutions to overcome them. Always remember, emotional control is vital in trading; without it, even the best technical analyst will be lost. It’s not about what you trade or how you trade. It’s all about how to think when trading. And, how not to think.

My favorite quote from the book is:

“Ninety-five percent of the trading errors you are likely to make — causing the money to just evaporate before your eyes — will stem from your attitudes about being wrong, losing money, missing out, and leaving money on the table. What I call the four primary trading fears.”

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3. How I Made $2,000,000 in the Stock Market

This book is recommended for positional traders, long-term traders, and investors.

This book tells the story of Nicolas Darvas, who made 2 million dollars in the stock market within two years. Darvas is not a professional investor but a dancer. He is Hungarian by birth, but he fled to Turkey at the age of 23, with forged papers. He begins his career as a dancer and he was also reading many books on trading.

Darvas’ trading journey begins when he gets 3000 shares of RILUND from the show managers. He had forgotten about these shares, and one day when he checked the price in a newspaper, he realized that he made an 8000 dollar profit. He sold everything and made up his mind to take trading very seriously.

Darvas invested his money in a few stocks that had been hitting their 52-week high. He was pleasantly surprised that these stocks continued to rise above a 52-week high level and later sold them to make a large profit.

He names his trading system as the ‘Box Theory.’ It relies only on price action and the volume of trading. He represented each stock as moving from one price box (for instance, 30-35) to another price box (35-40 and higher levels). Some stocks are moving down, but some stocks are crossing boxes to set themselves up in the next higher level box. He was only interested in those stocks, and he used to accumulate when a stock moved to a higher-level box.

He was using a stop-loss order to sell if the stocks went down to the lower box. He used to trail these stop-losses whenever a stock advances to the next level box. The most surprising thing was while he was traveling around the world for his dance show, he used to communicate only by telegrams with his broker. In this way, he made 2 million dollars within 2 years!

The book is very well written, and his story is interesting. Since it is written as a narrated story, it is easier to read than many other trading or investing books.

My favorite quotes from the book are:

I have no ego in the stock market, if I make a mistake I admit it immediately and get out fast.”

“If you could play roulette with the assurance that whenever you bet $100 you could get out for $98 if you lost your bet, wouldn’t you call that good odds?”

“I never bought a stock at the low or sold one at the high in my life, I am satisfied to be along for most of the ride.”

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4. One Up On Wall Street

This book is recommended only for investors.

Peter Lynch is an American Investor and a former fund manager. He was the manager of the Fidelity Magellan fund between 1977 and 1990. During his tenure, the Fidelity Magellan Fund's size increased from $ 20 million to a whopping $ 14 billion, and he generated an annual return of 29% for his investors and beat the S&P 500 index in 11 out of 13 years.

Peter Lynch popularized the term "Multi Baggers." In this book, he gives many bits of advice about how an ordinary person can get great returns using "3% of the brain" and "mathematics learned until 4th grade". This book is divided into three main categories: Preparing to invest, Picking Winners, and The Long term view.

Preparing to invest

Peter came from humble family background and worked in a golf course. He explains how a common man can take advantage of investing in stocks, which they know for a long time. For example, a doctor has a good knowledge of pharma companies and knows which medicines are doing great for patients. With little research, he can easily come up with a list of a few multi-baggers from the pharma sector.

Peter highlights the importance of conviction in investing. The lack of conviction forces amateurs to sell the stocks precisely at the wrong times and think of them as significant investors when they are not.

Picking winners

Peter explains his stock-picking ideas in the second section of the book. He advises each investor to do his own research before investing in any stock. This section explains what stocks to be avoided, the importance of earnings, and many more with his six categories of classification of stocks. He also gives a checklist for selecting stocks in each of the six categories of stocks.

The Long-term View

In this section, Peter focuses on designing the portfolio. He advises small investors to keep three to ten stocks in their portfolios. He also explains the best time to "Buy" and "Sell" stocks in this section. A simple example of buy is during the year-end tax selling by institutional investors.

My favorite quotes from the book are:

1. ‘Only invest what you could afford to lose without that loss having any effect on your daily life in the foreseeable future’.

2. Do not try to predict the economy. A great many personalities have failed. Predicting the economy is futile.

3. Large profits can be made in the stock market. Large losses can be made in the stock market.

4. ‘If you want to avoid a single stock, it would be the hottest stock in the hottest industry’. Boring stocks give the best results.

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|Also Read: Is Investing in Stock Market is Good Idea?

5. Mind Over Markets

This book is recommended for day traders, scalpers, and short-term traders.

JAMES DALTON has been a pioneer in popularizing the Market Profile, a unique method of identifying short-term trading opportunities. This book is a feast to day traders and short-term traders.