Six Books To Turn an Idiot Into a Stock Market Guru

If you’ve just sold your trailer, won the lottery, or robbed a bank, you should probably invest some of your nest egg in the stock market. In fact, even if you only have $ 1,000, you should probably start investing in it.

If you want your greenbacks to grow up without any of them ending up in the pockets of an investment professional, you might want to educate yourself a bit on the subject. Here is the ideal library that will allow you to get by alone like a big investment shark.

1- Investing for Dummies by Eric Tyson and Tony Martin

This is the inevitable starting point of your reflection since it presents three of the options available to you, namely investing in transferable securities (stocks, bonds, ETFs, etc.), investing in real estate, or become an entrepreneur.

Like all the books in this collection, short chapters and short sections will just save you the feeling of sucking and give you confidence.

Panoramic vision and a good pat on the back are therefore on the menu, which is not negligible when you are just starting out. It’s up to you to choose the highway that suits you best. Hint: this is the one that is mostly you!

2-Invest in the stock market and get rich by Bernard Mooney

f you know absolutely nothing about stocks and your fear of the stock market makes a term deposit dangerously sexy? This book is for you! From the outset, with the numbers to back it up, it will convince you that you have everything to lose by not investing in the stock market. And what’s more, don’t do it yourself.

As a good scout guide, he will then suggest a procedure to follow to avoid ravines and strains. In short, the book is both very informative and very easy to understand.

The only downside: the ugliness of the cover page. But I suspect the author did this on purpose to show us that we shouldn’t be fooled by appearances when it comes to building a portfolio.

3- 24 lessons to win on the stock market by Warren Buffett

There are plenty of books on the greatest investor of all time. But few are as concise and precise as this one. No annoying repetitions of the safety margin, no unnecessary details about his ukulele, no endless praise for his insight.

We stay flush with the daisies and instead we summarize its philosophy in 24 advice sentences (like “buy companies, not stocks”, “stay in your circle of skills”, etc.). And each of these hints is developed and explained in a few pages.

For the fans, this is a good recap. For novices, a good introduction. And for Cartesians of all kinds, pure candy. We bet that Buffett himself, who loves transparency as much as money, must love it.

Speaking of Buffett, it should be noted that his former daughter-in-law, Mary Buffett, wrote with David Clark a very useful book which may help many of you: Warren Buffett and the Interpretation of Financial Statements.

If you’ve never put your nose into a balance sheet, or have done it but regretted it immediately, this book is the key to getting you there. But I must warn you that it is as thrilling to read as a root canal.

4- The visual investor by John J. Murphy

While far from exciting, this book is nonetheless the best digest of what is useful to know about technical analysis. Especially since none of the books offered so far deals with this subject.

Whether or not these tools are useful to you in practice, it is still relevant to know what a trend line, a moving average, a double top, or an oscillator is. And not just to impress the visitors.

Indeed, many of those who swear by long-term custody of their securities use them to determine the best time to sell or buy once they have made their decision and therefore talk about it more often than it is necessary. ‘it seems. All in all, this is a great extension job.

Everything is there in 250 pages. But Valor Éditions is far from giving away its books. Despite the prohibitive price, it’s worth it.

5- The complete turtle trader by Michael W. Covel

Those who have already put on a K-way played Simon or worn too much fluorescent will remember the film Trading Places (1983) where two financial magnates make a bet on the capacity or not that each human has, it may be, to perform well when it is placed in winning conditions.

Well, Covel’s book tells a similar story, namely the fascinating experiment carried out by William Eckhardt and Richard Dennis, two talented traders who wanted to know if they could teach illustrious strangers to become stock market pros. And that, in just a few days and without the wave of a magic wand. “Can you breed traders just like you breed turtles?”.

It’s hard not to feel concerned when we are told about pure amateurs who have to dip their big toes in the financial bath for the first time. Especially since it reads like a novel. And that it could have looked even more like it, if it had not been for about thirty pages in the fat of the book where we are explained the trading technique learned by the turtles, namely directional trading.

So this is both good entertainment and a good way to understand that “trading” and “investing” are two completely different things.

6- The hour between dog and wolf by John Coates

Even if they too often forget it, all investors and traders are adamant that the stock market is not about numbers, it is about emotions. Those who can control them will survive and those who allow themselves to be carried away by fear or greed will perish.

It’s no wonder, then, that Coates’ book is one of the must-haves for any beginner to read. A former trader who became a doctor of neuroscience, explains in great detail how our bodies and our brains interact and therefore how they react when the markets soar and collapse.

Understanding how you function better will allow you to better control yourself and therefore invest more successfully. A little gem of a trial that will save you the trouble of buying high (when you have too much testosterone in your body) and selling low (too much cortisol). He also encourages all investors to play sports and take cold showers to improve performance on the stock market.

Note: I will not receive any financial gains or affiliate marketing commissions through the books I mentioned in the article, it’s only books I’ve read and felt the need to share them with anyone interested in boosting their game in the stock market.

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