Brainy's Share Market Toolbox Brainy's
Share Market Toolbox
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Recommended Reading

This is a brief summary of the books and authors that Robert is happy to recommend,
and which may be mentioned in Robert's seminars or presentations.

Where to get them? - Most of these books are normally available from the Educated Investor bookshop online.
You can place orders on line, or by phone.
Talk to Janene and ask her nicely for your 10% discount (just tell her that Robert Brain sent you).

With the broad shift to ebooks in recent years, and the decline in the availability of both printed books and book shops in which to browse,some of these titles might no longer be readily available. But perhaps a second hand book store might be useful.

You are here: Share Market Toolbox > Books (Recommended Reading)
Related linksTechnical Analysis;
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Frank Watkins - Exploding the Myths Exploding the Myths - What your broker doesn't know or won't tell you
Frank Watkins

A great book that addresses some of the myths that are peddled by people in the finance industry. The most used myth is "It is time in the market that is important, not timing".

Frank really blows this myth apart, and explains that "it is possible to time the market". And I have to add that many chartists and technical analysts would say the same - including yours truly.

Frank goes on to explode some other famous myths, and provides some really good information.

This book is a great read to help give all of us confidence that the art of charting does have a lot of merit.

Stan Weinstein - Secrets for Profiting in Bull and Bear Markets Secrets for Profiting in Bull and Bear Markets,
Stan Weinstein

This is an all-time classic, published in 1988, and is still recommended reading for people starting out with charting.

Stan's most popular concepts espoused in this book are to do with using a 30-week Simple Moving Average on a weekly chart - of either a market index, or a stock. He also discusses the concept of Stage Analysis. [See a practical application here, and more information about Stan's strategies (in the left hand column).]

Chapter 8 is great reading, "Indicators for spotting bull and bear markets". [See one of Robert's Presentations on Bear Markets for more details.]
Martin Roth - Top Stocks Top Stocks,
Martin Roth

Martin publishes his updated copy of this book in about October each year, for the coming year.

This book is great at explaining some very useful fundamental analysis criteria for selecting quality stocks for your watchlist. It goes on to list about 100 stocks which are essentially blue chip stocks in the Australian market. For anyone who is looking for a list of quality companies in which to invest, or trade, this book is a great start. However, there is no regard for the prevailing share price. So anyone who purchases stocks that are listed in this book will need to be buying for the long term or for dividends, or because the chart shows an optimum time to buy. (See Robert's views about buy-and-hold investing.)
This study of fundamental analysis is somewhat like the first stage of Robert's 2-stage Funda-Technical Analysis, but taken to the next level of detail.
Daryl Guppy - Trend Trading Trend Trading,
Daryl Guppy

Daryl's classic text on trading trends is just one of his many books, and is an excellent one for the budding technical analyst.
This book goes into detail discussing Guppy's Multiple Moving Average indicator (the GMMA), as well as his CountBack Line (CBL) technique for entry and exit, plus many more topics.
It includes a running case study with in-built self-tests to test your developing knowledge as you work through the book.
Louise Bedford, The Secret of Candlestick Charting The Secret of Candlestick Charting, Louise Bedford

Louise Bedford has authored a number of  books over the years.
This one is a great introduction to the mysteries of candlesticks.
Some comprehensive information about candlesticks included in the Toolbox here.
Alan Hull - Active Investing Active Investing,
Alan Hull

Alan Hull is an old hand at investing in the share market, and runs a newsletter service based on some of his trading and investing strategies.
This book explains how to profit from shares without advice and why passive investing is a waste of time.  It explains a couple of key concepts including the ROAR chart indicator (Rate of Annual Return), and Alan's own Range+ chart indicator. (Both of these are included in the BullCharts charting software.)
Mike Lally Mastering Risk, 2002, Mike Lally

This book tends to ramble on a little bit about a whole lot of things related to trading, and includes some good material on risk management, including position size considerations and the infamous Two Percent Rule.

A highly recommended reading in a field where little is available on investing and trading risk management.

Nick Radge Unholy Grails - A New Road to Wealth; 2012, Nick Radge

This book is highly recommended for those who know something about technical analysis, and who are looking for a strategy. 

Nick firstly explains some of the basic ideas about momentum investing, strategies (and the importance of clearly defining your strategy), and portfolio construction. He also explains some possible strategies, and their possible pitfalls. The strategies mentioned include: New Yearly Highs; 100-day High; TrendPilot; Golden Cross; Moving Average Channel; TechTrader, Flipper; and the Bollinger Band Breakout.


Martin Pring Introduction to Technical Analysis, Martin Pring; 1998
This is a great book which provides a good introduction to the topic of technical analysis. Includes: chart types, market cycle model, support/resistance, indicators and patterns.
Louise Bedford "Charting Secrets" Charting Secrets, Louise Bedford  
Louise believes there are a lot of secrets hiding in the charts.

In this workbook she offers to explain the secrets of: basic charts, lines, volume, moving average, and chart and candle patterns.
Stuart McPhee Trading in a Nutshell,
Stuart McPhee

Trading in a Nutshell, 3rd Edition by Stuart McPhee provides the reader even more trading tips than the original of this book published in 2001 and the 2nd Edition published in 2005. This new edition includes more information about preparing your mind for the mental rigours of trading as well as more guidance on how to develop your own trading plan that you will be able to implement with confidence.
Leon Wilson - BeST The Business of Share Trading,
Leon Wilson

This is a great book to start looking at some of the detail of technical analysis indicators and strategies.
In 614 pages, Leon talks about Primary Analysis (no indicators) and Secondary Analysis (using indicators), plus a whole lot more including trading and strategies.
Leon also has a couple of other books.
Edwards and Magee Technical Analysis of Stock Trends, Robert D. Edwards and John Magee
This is accepted as the bible of technical analysis. 484 pages, first published in 1948, and republished and reprinted a number of times over the years. Contains lots of great information about TA.

Affectionately known as "Edwards and Magee".
Steve Nison Japanese Candlestick Charting Techniques,
Steve Nison

Steve Nison is often regarded as the person who picked up the centuries-old Japanese studies of candlestick charting and introduced it to western society.

This big book is basically an encyclopedia of candlestick charting patterns, and its application in conjunction with a number of classical technical analysis concepts and indicators such as support and resistance, moving average, RSI, Stochastic, Momentum and OBV.

The book covers shown here are the scanned cover images of books that Robert has purchased, or borrowed - with credit and acknowledgments to the respective copyright owners.
Advanced and
specialist topics
van Tharp Trade Your Way to Financial Freedom,
Van K Tharp

Van Tharp is very highly regarded in trading circles.
Some of the gem topics in this book include: Position Size (methods and optimising, including the Percent Risk Model and the Two Percent Rule), Stop Loss methods (including ATR-based), and trading system metrics (eg. expectancy).
This book covers a lot of trading topics including: judgmental biases (in chapter 2), developing a trading system, expectancy, risk and money management, trade setups, market timing, entry signals, taking profits, opportunity cost and position sizing.

Nicholas Darvas "How I Made $2,000,000 in the Stock Market" How I Made $2,000,000 in the Stock Market, Nicolas Darvas
This well-known best-seller was published in 1960 by Lyle Stuart Inc (Kensington Publishing Corp), and re-printed several times.
It contains information that most brokers would not want you to know about. It includes graphic details of the methodology and approach that Nicolas Darvas followed over just a couple of years to make two million dollars in the market - all legit!
See some summary details about Darvas'
strategy in Brainy's eBook (PDF) Articles (left hand column).

Mark Whistler - Trade with Passion and Purpose Trade with Passion and Purpose, Mark Whistler
Many of the experts say that making money in the markets is not easy, but that about 80% of the job is really down to emotions and psychology. And without a good handle on one's own emotions, it is likely to be difficult.
In this book, Mark talks extensively about many of the keys to becoming a top trader with a good understanding of how to be in control of our emotions, and our psychological well-being.

Phil Anderson - The Secret Life of Real Estate The Secret Life of Real Estate and Banking,
Phillip J Anderson

Phil spent many years researching and writing about the real estate market in the US, covering property transactions and cycles since 1800.
Phil took all his research and lecture notes and published them in this book that provides great insight into the property cycles, and the underlying reason why property prices move in cycles of between 17 and 21 years.
A recommended read.

See more details here.

Jeremy A Definitive Guide to Point and Figure,
Jeremy du Plessis

The sub-title on this book says it all: "A comprehensive guide to the theory and practical use of the Point and Figure charting method".

This is a big book that explains how Jeremy transitioned from his training in engineering and as an economist to become a technical analyst, who founded Indexia Research in 1983, and developed PC-based software that utilises Point and Figure charting that is very popular today.

Many technical analysts today use Point and Figure charts to easily spot trends, and identify  potential market turning points.

Harry Dent - The Great Depression Ahead The Great Depression Ahead, Harry S Dent jr.
Harry wrote and published this text in late 2008, in anticipation of a great depression ahead (which at the time of updating this web page in 2019 has still not occurred).
Harry's studies and work over many years has looked at the huge range of cycles that are evident within society, and countries, and technologies, and in fact are everywhere.
For anyone interested in understanding what sort of cycles are in existence, and how they have played out and affected our lives over the years, this text is a must.

Whatever you read on this topic, and wherever you read it,
there are some people somewhere who might try to tell you that it is rubbish.
What they really mean to say is either "it is not for me", or
"I do not believe that to be true" (because they have not yet been convinced).
The bottom line is: "There is not one right answer, and different people have different opinions."

The information presented herein represents the opinions of the web page content owner, and
are not recommendations or endorsements of any product, method, strategy, etc.
For financial advice, a professional and licensed financial advisor should be engaged.

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Last revised: 8 October, 2019