I placed all my favourite finance books in this page for easy reference.
These books and applications are not fluff, they are what I found to be excellent learning and training material thru my trading career. They are few and they are all what you need.
I suggest you begin with Larry Harris and make yourself well acquainted with the finance foundations, then proceed with Mark Douglas books. I am going to add few books in the future but they are less fundamental to learn than these.
Coaching traders since 1982, Mark Douglas developed seminar and training programs on trading psychology for the investment industry.
He is the author of some of the most well known trading psychology books: The Disciplined Trader™ and Trading in the Zone™.
The Disciplined Trader
This is the first of two books that apparently don't deal with trading tecniques and are well overlooked by the average trader. This would be a big and costly mistake.
This book introduces the reader to some of the stumbling blocks that almost every trader is going to meet in their career and that cause more than 90% of them to consistently lose. These blocks come from our very interior, because trading is unlike any other activity we were prepared to take.
With no rules, no direction and complete freedom about what and when to do anything, trading is a very slippery road that reveals to be fatal to most.
Since youth, we are teached about certain values, certain mindsets, certain "laws" and expectations. Nothing of this applies to trading, leaving traders wondering why they keep failing again and again in a never ending spiral of pain and stress.
The book shows the reader how to analyze his own preconcepts, his own rooted customs and how to gradually replace them with a different mindset, a mindset able to deal with the losses but also with the wins.
A trader who does not accurately know the concepts exposed in this book is just doomed to fail.
Therefore I strongly suggest reading both this book and the other similar themed successor. It will save months of pain and buckets of money.
Trading in the Zone
This book may be considered as the sequel to "The Disciplined Trader" and as review posted at Amazon says, "This book is an essential book for any person wanting to be a successful trader".
It's actually a sort of second iteration, where the author has polished his method and interiorized even more wisdom.
While many of the exposed concepts were covered in the first book already, this book is still an invaluable guide for every trader who wants to stand a chance to survive in the wonderful but extremely dangerous world of trading.
Given its low cost, at how easy is to read and how fundamental to success is, buying this book is just a no brainer.
Professor Larry Harris is a former Chief Economist of the US SEC (Securities and Exchange Commission).
He is an expert in market microstructure and investment management.
He has written several de facto reference books in multiple finance fields, from trading to index markets, from market regulation to exchanges and investment banks.
Despite him holding a Chair in Finance at an university and being a research coordinator of the Istitute for Quantitative Research in Finance, his texts are surprisingly easy to read.
He brings up practical examples and trivia, without compromising with the accuracy of his exposition.
Trading Exchanges: Market Microstructure for Practitioners
This is the book you want to read once you have learned the very basics of finance and before you begin to trade.
Larry Harris has created a formidable, cornerstone compendium about the very finance ecosystem: traders, hedgers, exchanges, fund managers, even gamblers!
The book is divided in chapters covering a moltitude of topics. Each chapter has a very clear explanation that may be understood even by beginners. At most every other page you may find trivia, quizzes, historical curiosities, studies on the same topic.
There are a very limited number of studies including finance math, the rest is exposed in a quite good-humored style.
The contents are organized so that even in case you don't wish to study a particular topic, you will be able to skip it and still understand the next chapters.
This book will greatly help form a proper mindset for a new trader, he will be able to see all the cogs in motion, why certain things happen and who takes profit of them.