Warrior Trading: Inside the Mind of an Elite Currency Trader (Wiley Trading) To say this is a great book is an understatement. I have just finished reading this book and was totally absorbed throughout the entire book. Is this book good for newbie traders, I don’t think so. The concepts and the analogies that Clifford uses are much more suited to some one with at least some trading experience. I noticed that on Amazon the reviews were very mixed and I would say this has some bearing there. I personally think this is the best trading psychology book I have ever read. I know a lot of people refer to Van Tharp’s Trade Your Way to Financial Freedom as the ultimate book in this field and previous to reading this book I would have agreed, but after reading warrior trading my opinion has changed completely.
This guy really gets right inside the mind of a trader and conveys it in such a way as to really make you think about just what is going on in the market and how you can benefit from that. This is not a book that says wait for this indicator to do this and wait for that type book. What this book does is really challenge your mind into thinking on a much deeper level about market structure and what others are thinking and WHY they are thinking it. He conveys this through analogies which I found made it even easier to relate to and understand. This book was a real eye opener for me and I definitely gained a lot from it.
Clifford not only looks inside the mind of traders but also delivers strategies and ways to assess the market and then capitalize on this information. He delves into both fundamental and technical analysis and describes how when they are used in conjunction can be an extremely effective tool. Reading this book opens up your whole mind to a complete new perspective on the market and is a book that I will read again and again.
If you have not yet read this book then I recommend you get yourself a copy today and start reading, I can assure you you won’t regret it.
I want to just touch on this area before going further with the system development series. Both of these subjects are extremely important to all traders and without some tools in place to manage them both the road ahead will be quite a rocky one. Why THE MELD, I believe that if you are trading a good system that produces consistent results and are using good money management practices, the need to work on the psychology side of things is dramatically reduced. Lets face it the only time we are working on our trading psychology is when we are losing, or playing a long losing streak, or, trading out of a deep draw down. All these situations have one thing in common they are not very enjoyable at all, now, if you have a tried and tested system you will have a good understanding of draw down expectations and therefore should be comfortable with it. If this is not the case and you do have a good profitable system then you probably need to reduce your position sizing to combat the larger equity swings.
