There are hundreds of books on how to trade the FOREX market and I have read a lot of them. Here are a few that I recommend and I am sure that you will find others if you want to take the time to search…
BEAT THE FOREX DEALER by Agustin Silvani
This has to be my favorite book so far on FOREX trading. In this book, Silvani basically explains how FOREX dealers operate and how to navigate your way around their sometimes unscrupulous and illusory tactics. This book also features a strategy that I employ for trading with 4-hour pivot lines (I adapted this from reading this book) as well as some other trading strategies that are probably effective, but which I do not currently use.
MARKETS IN PROFILE by James Dalton
Helps explain why markets do what they do. I use a Market Profile indicator to help determine profit targets and probable overall direction of the market on any given day.
TRADING IN THE ZONE by Mark Douglas
This book helps explain trader psychology and why novice traders (and sometimes professional ones) make stupid mistakes. It’s one of the few books on trading that are available as an audio book, because it doesn’t use charts to convey its points.
FOREX CONQUERED by John L. Person
This book has a great explanation on how to calculate and use pivot lines (although my application of the pivot lines is slightly different, I calculate them as described by Mr. Person.) Also, this book has a great short section on trading psychology.
WINNING THE DAY TRADING GAME by Thomas Busby
Although this book focuses on trading the Emini S&P futures and not FOREX, the trade management techniques that it reviews are very useful. The book has a good focus on various stop loss strategies and risk management as well as how to scale out of winning trades.
THINK AND GROW RICH by Napoleon Hill
This is the first book you should read. Read it again and again.
I have read many other books on FOREX trading, but these are the ones that I refer to often to reframe my mind when I feel that I may be losing my way. If you have read a book that you think is worthwhile please shoot me a note with your suggestions.
