Michael Lewis' nonfiction book The Big Short: Inside the Doomsday Machine chronicles the rise of the US housing bubble in the 2000s. W. W. Norton & Company published it on March 15, 2010. It was the inspiration for the 2015 film of the same name, which spent 28 weeks on the New York Times bestseller list.

The Big Short is a book about several key players in the creation of the credit default swap market, who sought to bet against the CDO bubble and thus profited from the financial crisis of 2007–08. It also exposes the unique personalities of those who "go against the grain" by betting against the market or otherwise.

Although it is a fun story, it is really a study of what it takes to be a great trader. The book examines the actions of a group of short-sellers and explains why they pursue their strategy. But, more crucially, it delves into the complexities of the financial system and how its flaws were exploited when no one else was looking.

The ability of Michael Lewis to communicate a difficult financial issue to those with little prior knowledge of the subject is what makes 'The Big Short' such a good book. It does an excellent job of describing the rise and fall of the housing bubble in the United States, as well as why it mattered. It is the reason why this book was chosen is one of the best books on trading.

Author: Michael Lewis

Link to buy: https://www.amazon.com/Big-Short-Inside-Doomsday-Machine/dp/0393338827

Trading in the Zone is a primer on the qualities that successful traders must possess. It's Mark Douglas's second book, and he taught investment pros and individual traders how to conquer their mentality.

This book examines why traders are inconsistent and how individuals might overcome their loss-causing tendencies. Traders will uncover their own preconceptions as they read Douglas' book, as well as the frequent hazards of trading and market myths. He debunks market myths one by one, teaching traders to think beyond random outcomes, to comprehend the true realities of risk, and to be at ease with the "probabilities" of market movement that govern all market speculation.

It was regarded as a good book in the field of trading since, given the importance of trading psychology, anything related to it should be of interest to a trader. Mark Douglas was a legend in the profession, and his contribution to this work was enormous. It is one of the most practical guides to become a better trader, since it touches on the very core and crucial parts of psychology and probability.

Author: Mark Douglas
Link to buy: https://www.amazon.com/Trading-Zone-Confidence-Discipline-Attitude/dp/0735201447

Market Wizards is an anthology of interviews with the world's finest traders, in which they reveal what sets them apart from the crowd and relate the story behind their most successful trades. There's a T-bond futures trader who turned $25,000 into $2 billion in a single day, and a hedge-fund manager who grew his money at a 30 percent yearly pace for 21 years.

While these stories are enjoyable to read, the book's true value resides in the commonalities that the interviews uncover. These results demonstrate that success in the markets is determined by a sound methodology and the proper mental attitude, not by luck or exceptional personal characteristics.

Interviews with 17 investment heavyweights, including Bruce Kovner, Richard Dennis, and Paul Tudor Jones, are included in the book, which covers markets such as currency, stocks, futures, and bonds. Author Jack D. Schwager provides an update in the 2012 edition, revealing what he has learned in the 22 years since the book was initially published.

Many people enjoy Market Wizards because it provides valuable insight into the mindset required to be a successful trader. The adventures and hardships of some of the trading world's most brilliant brains are what make "Market Wizards" deserving of a place among the top trading books.

Author: Jack D. Schwager

Link to buy: https://www.amazon.com/Market-Wizards-Updated-Interviews-Traders/dp/1118273052

When Genius Failed is a book about the rise and fall of Long-Term Capital Management (LTCM), a hedge fund with over $120 billion in assets under management before collapsing in 1998, prompting a Federal Reserve bailout.

The book is divided into two parts: the ascension and the descent. The first section is represented by chapters 1-6, and the second by chapters 7-10. The first section examines the firm's business model, which was developed by two Nobel Laureates in economics as well as Harvard PhDs, and explains its early success in generating returns of more than 40% between 1994 and 1998. The second section, of course, chronicles its demise as the geniuses models fail to keep up with the ever-changing marketplace.

Former LTCM employees, the Federal Reserve, banks involved in the rescue, and one of the firm's founding partners were interviewed for the book. It was first published in 2000, and it served as a foreshadowing of the 2008 financial catastrophe, and it continues to act as a reminder of what may happen when a trader's thinking becomes complacent.

As of 2014, there were four English editions, five Japanese editions, one Russian edition, and one Chinese edition. The book earned various honors, including being named one of the best business books of 2000 by Business Week. With these archives, it deserves to be in the list of the best books on trading.

Author: Roger Lowenstein

Link to buy: https://www.amazon.com/When-Genius-Failed-Long-Term-Management/dp/0375758259

Investment Biker: Around the World with Jim Rogers is a book that takes a fresh look at the world of finance. It follows Jim Rogers, a Wall Street veteran and co-founder of the Quantum Fund, on his 22-month motorbike trip across 52 countries. In order to build a picture of the state of the global economy, he examines the market value of each country.

The book, which is a blend of trip writing and investment advice, has grabbed the curiosity of both motorcycle aficionados and market participants. For traders, the book offers an intriguing perspective on the future of international economies, as well as guidance on how to capitalize on possibilities in overseas markets.

It fosters risk-taking in both experiences and investing opportunities, to the point where Time magazine has dubbed Rogers the "Indiana Jones of finance."

This is one of the few books written by one of the financial industry's most illustrious people that combines investment advice with adventure. Jim Rogers' book, which has been out for twenty-five years, continues to provide insight into the populism that is sweeping Western economies. This is a must-read, and re-read for those who haven't touched it in years, if you want to learn more about why the world economy is in the state it is.

Author: Jim Rogers

Link to buy: https://www.amazon.com/Investment-Biker-Around-World-Rogers/dp/0812968719

Peter Lynch, one of America's most well-known fund managers and investors, wrote One Up On Wall Street. He illustrates how the typical investor can become an expert in their subject and outperform even Wall Street professionals just by conducting research in an easy-to-read guide. By studying a company's financial accounts and understanding which data actually matter, Lynch provides easy-to-follow recommendations for separating the long shots from the no-shots. He gives advice on how to invest in cyclical, turnaround, and fast-growing businesses.

The most successful money manager in the United States explains how normal people may outsmart the pros by using what they already know. Investment possibilities, according to Lynch, can be found anywhere. We come into contact with products and services all day long, from the supermarket to the office. We can locate firms to invest in before professional analysts do by paying attention to the finest ones. Investors who get in early can find "tenbaggers" stocks that increase tenfold from their original investment. A few tenbaggers can transform a mediocre stock portfolio into a winner.

Lynch claims that if you invest for the long term, your portfolio can repay you. One Up on Wall Street is a #1 bestseller and a classic book of investment advice thanks to this timeless counsel.

Author: Peter Lynch

Link to buy: https://www.amazon.com/One-Up-Wall-Street-Already/dp/0743200403

Pit Bull: Lessons from Wall Street's Champion Day Trader follows Martin 'Buzzy' Schwartz's career on Wall Street, where he gained the moniker 'Pit Bull' after years of successful trading. The book tells the true narrative of how Schwartz rose to become one of the world's top traders, as well as the strategies and procedures he employed along the way.

The popularity of this trading book stems from Schwartz's frank description of both his killer instincts and his blunders. He does not shy away from the human aspects of his biography, such as the substantial losses and troubles he experienced in the outset.

'Pit Bull' teaches beginners and specialists alike about the mentality, approaches, and strategies that are essential to become a winner. This book not only explains how to make money, but also how to live the life of a professional trader.

Authores: Martin S. Schwartz, Paul Flint, Amy Hempel, David E. Morine

Link to buy: https://www.amazon.in/Pit-Bull-Lessons-Streets-Champion/dp/0887309569

Despite being published nearly 100 years ago, Edwin Lefèvre’s with Reminiscences of a Stock Operator remains a popular trading book – so much so that it was recommended by more of our analysts than any other title.

The book is a thinly veiled biography of Jesse Livermore, one of the most famous traders of the twentieth century, who rose from small 'bucket shops' to making and losing millions on Wall Street multiple times. Its enduring popularity stems from the protagonist's candid reflection on his successes and failures, as well as the inclusion of the lessons he learned along the way – lessons that are still relevant today.

The traders in Jack Schwager's 'Market Wizards' identify the book as a major source of learning, and former Fed Chairman Alan Greenspan characterizes it as a "font of investing wisdom." Jon D. Markman's commentary in the 2010 annotated edition bridges the gap between the fictionalized world of the original and the events of Livermore's life, as well as explaining how to apply the strategies described in the book to today's markets.

Alan Greenspan called the book "a font of investing wisdom" in his 2008 book The Age of Turbulence, and noted that quotes from the book such as "bulls and bears make money; pigs get slaughtered" have become adages. It was named one of "The Smartest Books We Know" on business in a Fortune article from March 2005. Many investors, including Richard Dennis, cited Jack D. Schwager's book Market Wizards as a major source of stock trading information.

Author: Edwin Lefèvre

Link to buy: https://www.amazon.com/Reminiscences-Stock-Operator-Edwin-Lef%C3%A8vre/dp/0471770884

The Intelligent Investor is the standard work on value investing, which was pioneered by Benjamin Graham at Columbia Business School in the 1920s. This trading book is so well-regarded that Warren Buffett declared it to be the best investment book ever written, so it is not surprised that it is in the list of the best books on trading.

Graham's ageless insight has been updated for today's market realities in this classic text. Benjamin Graham, the best investing counselor of the twentieth century, taught and inspired individuals all over the world. Since its first publication in 1949, Graham's philosophy of "value investing," which protects investors from significant error and teaches them to develop long-term strategies, has made The Intelligent Investor the stock market bible.

The book's strategy entails purchasing stocks that appear to be undervalued based on fundamental analysis, such as those with high dividend yields or low price-to-earnings ratios when compared to their peers. The objective is to locate stocks with prices below their "intrinsic worth," give them a "margin of safety" in terms of future rising potential, and then hold them for the long term.

Market developments have demonstrated the validity of Graham's strategies throughout time. Graham revised the book four times, the most recent in 1972, with a foreword by Warren Buffett. A new edition, initially published in 2003, includes new commentary by financial journalist Jason Zweig, who explains how to apply the book's concepts to today's markets.

Author: Benjamin Graham

Link to buy: https://www.amazon.com/Intelligent-Investor-Definitive-Investing-Essentials/dp/0060555661

Technical Analysis of the Financial Markets was written by John J. Murphy, a former Merrill Lynch director of technical analysis, is widely considered as a bible for traders. It features more than 400 charts to bring technical analysis to life, and it covers everything from basic concepts to advanced indications.

The book is a revised edition of Murphy's earlier book, 'Technical Analysis of the Futures Markets,' which was cited in Federal Reserve research papers and used in Market Technicians Association training programs. The scope of the new version has been expanded to encompass all main asset classes, making it a valuable reference for traders who work in several markets.

Thousands of traders have already learned the concepts of technical analysis and how to use them in the futures and stock markets thanks to this fantastic resource. The second edition includes new material on candlestick charting, intermarket relationships, stocks and stock rotation, as well as state-of-the-art examples and figures, and it covers the latest developments in computer technology, technical tools, and indicators. Readers gain a thorough and accessible overview of the field of technical analysis, with a special emphasis on futures markets, from how to read charts to understanding indicators and the critical role technical analysis plays in investing. This book, which has been updated and expanded to meet the needs of today's financial world, is required reading for anybody interested in watching and understanding market behavior.

Author: John J. Murphy

Link to buy: https://www.amazon.com/Technical-Analysis-Financial-Markets-Comprehensive-ebook/dp/B00BWVKM4U

William O'Neil is a well-known stockbroker, author, and businessman. In 1963, he created William J. O'Neil & Co. Inc., a stockbrokerage firm. He is also the creator and chairman of the influential investing newspaper Investor's Business Daily.

Over 2 million copies of How to Make Money in Stocks have been sold globally. The first portion, which covers a little under half of the book, is the most essential. First, basic trading rules are developed from the most successful stocks in US stock market history. Many historical chart examples with related signals and comments are given on about 100 pages. O'Neil emphasizes the importance of charts in effective trading and how you can learn from the patterns of previous success stories. This is due to the fact that neither human nature nor supply and demand laws have altered.

The first section also describes the individual components of still today's popular CAN SLIM strategy. Investors may pick good stocks with ease using O'Neil's CAN SLIM Investing technique. He also offers advice on how to identify the best mutual funds and ETFs for new investors. Even if you've never owned stocks before, the book promises to teach you how to make smart investments. You'll have a lot of questions as a new investor, such as where to begin. What characteristics should I look for in a stock? You'll find everything you need in this tutorial.

Author: William O'Neil

Link to buy: https://www.amazon.com/How-Make-Money-Stocks-Winning/dp/0071614133

Burton Gordon Malkiel, a Princeton University economist, wrote A Random Walk Down Wall Street, a book about stock markets that popularized the random walk hypothesis. Malkiel claims that asset prices resemble a random walk and that it is impossible to consistently outperform market averages. Those who support the efficient-market hypothesis usually quote this work.

In light of scholarly research investigations of these methods, Malkiel analyses various popular investment strategies, such as technical analysis and fundamental analysis. He finds severe problems in both tactics after a thorough examination, finding that implementing these methods will provide inferior results for most investors when compared to passive strategies.

Malkiel criticizes approaches for picking actively managed mutual funds based on historical performance, similarly. He cites research that shows actively managed mutual funds have a wide range of long-term success rates, typically underperforming in the years following their achievements and therefore regressing to the mean. According to Malkiel, given the distribution of fund performance, an average investor is statistically unlikely to choose those few mutual funds that will outperform their benchmark index over the long term.

This book, now in its ninth edition, is an excellent introductory read for anyone starting a portfolio. Indexing, diversification, trends, bubbles, the significance of patience and time, and a slew of other key themes are all prominent inside. There have been twelve versions and more than 1.5 million copies sold as of 2020.

Author: Burton Gordon Malkie

Link to buy: https://www.amazon.com/Random-Walk-Down-Wall-Street/dp/0393330338