Skip to main content

2 Must Read Books For Stock Market Investors.

2 Must Read Books For Stock Market Investors.



It’r really important to know the basics about the stocks before entering the market as lack of knowledge in this field almost always leads to a huge financial loss. Further, loss of capital also leads to a decline in the morale of the investor.
Therefore, today I am going to give you the names of 10 must read books for the stock market investors. So, be with me for the next few minutes while i give you a brief introduction and review about the 10 must read books for stock market investors. Here it goes:

2 Must Read Books For Stock Market Investors:


This book is ranked 1 in my list of 10 must read books for stock market investors. Peter Lynch, the Author of the book, is one of the most successful fund manager with an average annual return of 30% on his portfolio for a period of 13 years. A great record for a mutual fund manager.
  • This classic book explains all the important basics that a beginner should know before investing.
  • From preparing to invest to the long-term view, everything is covered in this book. Here, Peter Lynch describes his stock picking approach for Winning stocks.

The Intelligent Investor




This is also known as the Bible of the stock market. A must read book written by the legendary Benjamin Graham, a.k.a. the mentor of the greatest investor of all time- Warren buffet.
The book explains about the fundamentals of the stock market for value investors. There are three main concepts covered in this book.
First, the investing approach for a defensive investor and enterprising (aggressive) investor. The other two concepts introduced by Graham in this book are- Mr. Market and Margin of Safety for easy explanation of the market behaviour and risk management.
I will highly recommend you to read this evergreen classic book on stock market. There are many concepts that you can learn by reading this book. I have already read this book 2 times.



Comments

Popular posts from this blog

CALL OPTIONS BASICS Breaking the Ice The options market makes up for a significant part of the derivative market, particularly in India. I would not be exaggerating if I were to say that nearly 80% of the derivatives traded are options and the rest is attributable to the futures market. Internationally, the option market has been around for a while now, here is a quick background on the same – Custom options were available as Over the Counter (OTC) since the 1920’s. These options were mainly on commodities Options on equities began trading on the Chicago Board Options Exchange (CBOE) in 1972 Options on currencies and bonds began in late 1970s. These were again OTC trades Exchange-traded options on currencies began on Philadelphia Stock Exchange in 1982 Interest rate options began trading on the CME in 1985 Clearly the international markets have evolved a great deal since the OTC days. However in India from the time of inception, the options market was facilita
Single Candlestick patterns (Part 1) a single candlestick pattern is formed by just one candle. So as you can imagine, the trading signal is generated based on 1 day’s trading action. The trades based on a single candlestick pattern can be extremely profitable provided the pattern has been identified and executed correctly. One needs to pay some attention to the length of the candle while trading based on candlestick patterns. The length signifies the range for the day. In general, the longer the candle, the more intense is the buying or selling activity. If the candles are short, it can be concluded that the trading action was subdued. The following picture gives a perspective on the long/short – bullish, and bearish candle. The trades have to be qualified based on the length of the candle as well. One should avoid trading based on subdued short candles. We will understand this perspective as and when we learn about specific patterns. The Marubozu The Marubozu is the f

Gold (Part 2)

GOLD PART 2 CURRENCY  TRADING.  The London fix In the previous chapter we discussed the various Gold contracts that are available on MCX. I’d like to begin this chapter by discussing how the prices of Gold in the spot market are arrived at internationally and in India.  However, I have to mention this – this method to ‘fix’ gold prices is merely symbolic and holds very little relevance to trading gold futures at MCX. I’m discussing this simply because it is an interesting thing to know. J Internationally, the price of Gold is fixed in London on a daily basis, twice a day in two different sessions. The morning session at 10:30 AM is referred to as ‘AM Fix’ and the evening session at 3:00 PM is called the ‘PM Fix’. The prices are fixed by the gold dealers from London’s biggest bullion desk. The whole process is facilitated by Nathan Mayer Rothschild & Sons. There are about 10-11 participating banks, which include names like JP Morgan, Standard Chartered, Scotia