Best books on trading psychology


The Hour Between Dog and Wolf: This is by far and away the best book I have read that combines neuroscience, physiology and trading stories. It obliterates many of the myths we carry around about ourselves and our trading decisions. Here are the corrections from author John Coates. See my blog post on this book for more information.

Tharp, McGraw Hill Combining the sharp insight and technical brilliance that have drawn legions of investors to his books and seminars, Tharp provides a holistic approach for becoming a successful full-time trader.

The Daily Trading Coach: Steenbarger, Wiley Publishing. Steenbarger covers every aspect of the transformational process that traders and investors will need to deal with. Reading the book is like walking on a field of diamonds and hearing them crunch under your boots. The major issues that most of my clients are working on are all addressed clearly along with suggested solutions.

Trading in the Zone: Taleb deals with three areas of difficulty we face with our current thinking processes: Our brains want to create patterns from random events that bare no relationship to reality and Taleb clarifies this tendency. The Mental Strategies of Top Traders: Super Trader provides a time-tested strategy for creating the conditions that allow you to reach levels of trading success you never thought possible.

Providing expert insight into both trading practices and psychology, Tharp teaches you how to steadily cut losses short and meet your investment goals through the use of position sizing strategies — the keys to steady profitability. Steenbarger covers every aspect of the transformational process that traders and investors will need to deal with. Reading the book is like walking on a field of diamonds and hearing them crunch under your boots.

The major issues that most of my clients are working on are all addressed clearly along with suggested solutions. Trading in the Zone: Taleb deals with three areas of difficulty we face with our current thinking processes: Our brains want to create patterns from random events that bare no relationship to reality and Taleb clarifies this tendency. The Mental Strategies of Top Traders: Super Trader provides a time-tested strategy for creating the conditions that allow you to reach levels of trading success you never thought possible.

Providing expert insight into both trading practices and psychology, Tharp teaches you how to steadily cut losses short and meet your investment goals through the use of position sizing strategies — the keys to steady profitability. Tharp offers concepts and tactics designed to help you. Dweck proposes that everyone has either a fixed mindset or a growth mindset.

A fixed mindset is one in which you view your talents and abilities as… well, fixed. In other words, you are who you are, your intelligence and talents are fixed, and your fate is to go through life avoiding challenge and failure. A growth mindset, on the other hand, is one in which you see yourself as fluid, a work in progress. Your fate is one of growth and opportunity. The Book of Not Knowing: Over decades of martial arts and meditation practice, Peter Ralston discovered a curious and paradoxical fact: Even the most sincere investigation of self and spirit, he says, is often sabotaged by our tendency to grab too quickly for answers and ideas as we retreat to the safety of the known.