trading-books-review

To become a successful day trader or swing trader, it takes time to learn. Also, you’ll find that by using a mix of technical analysis and psychology, you can improve your trading strategies. That’s why you’ll find both these topics on this list of the best trading books.

Before diving into each of these books, let’s look at a review of day trading vs. swing trading. Also, you can click on each book below for more details and reviews.

Day Trading vs. Swing Trading

Day trading and swing trading are two different ways to trade stocks. Day trading means buying and selling stocks on the same day. You try to make a profit from daily price movements. You close your trades before the market closes. This way, you avoid overnight risks. Day often traders watch charts and news closely. They make quick decisions to buy and sell.

Swing trading is similar but you hold onto your stocks for a few days or weeks. You try to catch bigger price movements. You don’t have to watch charts all day. Instead, you might only check them a few times a day. Swing traders can see higher returns on individual trades than day traders. But they also take on more risk. It requires more patience to find the right moment to sell. Swing trading is a good choice for people who can’t watch the market all day.

Best Trading Books for Technical Analysis

1. Technical Analysis of the Financial Markets

by John J. Murphy

Technical Analysis of the Financial Markets by John Murphy

This trading book by John J. Murphy is a guide to technical analysis. It’s become a classic in the industry. First released in 1999, this book gives readers a full review of technical analysis, along with key concepts. You’ll find many different indicators, chart patterns, and trends. Murphy’s book is also clear and easy for readers to understand complex trading ideas. This book is packed with real trading examples and case studies. This can help you to see how technical analysis works.

This is a great book if you’re serious about learning how to trade. You’ll find expert insights on every page. Murphy’s book is a top choice for traders and investors of all levels. The book covers many topics. You’ll learn about basic chart analysis and build up to advanced trading techniques. For example, Elliott Wave theory and candlestick patterns. For new or even seasoned traders, Technical Analysis of the Financial Markets is a great resource. It can help you become a better trader and investor.

2. Trading: Technical Analysis Masterclass

by Rolf Schlotmann and Moritz Czubatinski

Trading Technical Analysis Masterclass

This technical trading book is a great guide to technical analysis. It shows you real trading examples. The authors are experienced traders that share their insights. You’ll find many strategies for using technical analysis to find profitable trades. This book covers many topics, including indicators and patterns, as well as some trading psychology. You’ll find step-by-step rules for applying technical analysis in your own trading.

What helps make this one of the best swing and day trading books is its useful advice. The authors show you many examples of real trades. This can help you learn how to use technical analysis to find your own opportunities. This comes with risk management strategies as well. This trading book is filled with tips and tricks to avoid trading mistakes. To learn more, click on the book above. You’ll find more details and reviews from readers.

3. Charting and Technical Analysis

by Fred Mcallen

Charting and Technical Analysis by Fred Mcallen

Charting and Technical Analysis is a great guide for day trading. It’s for both beginners and advanced traders who want to improve. The author, Mcallen, is an analyst and trader. He explains many concepts in simple terms. This helps make this trading book easy for readers to understand. It can help you apply technical analysis techniques to your trading. You’ll learn about the basics of chart analysis. This includes finding trends, patterns, and using indicators.

This book is also useful because it focuses on visual learning. Mcallen shows lots of charts and diagrams to help learn key concepts. This makes it easier to see technical analysis for trading. The book also has exercises and quizzes. You can test what you learn and reinforce the concepts. Hands down, Charting and Technical Analysis is one of the best technical analysis and trading books. Check it out for yourself.

Swing and Day Trading Psychology Books

4. Thinking, Fast and Slow

by Daniel Kahneman

Thinking, Fast and Slow by Daniel Kahneman

This is a great trading psychology book. Daniel Kahneman is a Nobel Prize winner and he explains how our brains work to make decisions. He breaks it down into two different ways: fast and slow. Kahneman shows readers how fast thinking can lead to mistakes. And for slow thinking, it can help us make better decisions. By learning more about how we think, you can become a more successful trader.

Learning from Kahneman’s book can help you avoid pitfalls in trading. You’ll learn about overconfidence and our tendency to make emotional decisions. Learning how we think can help you place and lock in better trades. This book is a great read to improve your trading skills. It’s one of the best trading books that can help you improve the way you think.

5. The Little Book of Behavioral Investing

by James Montier

The Little Book of Behavioral Investing by James Montier

This investing book is a guide to behavioral biases. It also shows readers how to overcome them. Montier explains how our brains can lead us into making bad decisions. But alas, he also shows strategies to avoid these issues. This is a top book to improve how you think, and as a result, your trading performance. It hands readers useful advice.

The strategies in this book are easy to follow. This helps make it one of the best investing psychology and trading books to read. You’ll find topics such as anchoring, herd behavior, and confirmation bias. Montier gives readers tips on how to spot and avoid these biases. By picking up this book, you can become a more aware trader. Whether it’s day or swing trading, these books can help you improve.

For a list of more psychology books, check out these Top 6 Investing Psychology Books.

Trading Books Next Steps for Investors

By reading the top trading books above, you’re off to a great start. Although, as your portfolio builds, it’s good to learn passive income strategies as well. Some of the world’s best traders have both short-term trading and long-term passive portfolios. To improve your overall understanding of markets, check out these investing books.

  1. Top 3 Dividend Investing Books
  2. 10 Classic Investing Books
  3. Top 3 Fundamental Analysis Books

As a technical trader, you can find overlap with short-term and long-term trends. You can improve your day trading and swing trading strategies. I hope you’ve found the best trading books above to be useful. Feel free to click on each one to find more details and reviews.