The Art of Currency Trading: A Professional's Guide to the Foreign Exchange Market (Wiley Trading)

This book should be read by anybody interested in learning about FX trading and especially by anybody engaged in it. The book covers all relevant topics and uses actual trades and recent experiences of the author to make his points and illustrate his preferred trading strategies. The book is especially strong on the (oft neglected) subject of risk control which is of paramount importance since most retail traders lose money whereas professional traders lose their jobs. The book covers the mechanics of trading, specific trading setups, macro-economic and domestic financial factors that must be addressed by anybody seeking to trade consistently. It also discusses some but not all technical patterns.One of Brent Donnelly’s objective in the book is to show how today a trader must incorporate knowledge about macro-economics, country and international politics, technical analysis/chart reading (for example, Fibonacci analysis, Japanese candle sticks and Elliot Wave Theory), market sentiment, and experience. According to him this was not done by professional traders in the past as they were primarily sales people with little or no background in these areas.As the book points out, thanks to technology, low cost, (often free) sophisticated trading systems are now available to the public. As a result, retail traders have access to virtually the same information and mathematical techniques as professional traders. What they do not have access to is the near-term plans of large corporations and brokers which may or may not, be a serious problem.THE MOST IMPORTANT PART OF THIS BOOK IS ITS DISCUSSION OF RISK MANAGEMENT AND CAPITAL PRESERVATION. These chapters need to be read by all traders including those who trade stocks, bonds, futures and options. The book’s discussion of risk control is the most simplified, direct and explicit treatment of this topic that I have seen. Brent Donnelly actually lays out his personal risk control system and explains how it works and how he uses it.THE SECRET TO MAKING MONEY IN TRADING IS NOT FINDING GREAT TRADES although that helps. THE TRUE SECRET IS NOT LOSING MONEY! Just like Warren Buffet says. Because if you blow out your account you are out of the game. There are many risk control systems available and Brent’s is not the only one that works but it is simple and easy to implement. To learn it you need to read the book but suffice to say, it is based on never risking more than a small percentage of your account and if you lose money in a given period you must reduce the size of your trading until you restore your losses. Similarly, as you make money you can increase the size of your trades accordingly. Brent has been using the system he presents throughout his trading career and it seems to have served him well.FINDING GREAT TRADES. While there are many reasons why one might take a trade, Brent Donnelly describes, with great clarity, what he calls 7 Deadly Setups. These are basically technical patterns that have a high probability of success. They don’t come along every day but when you see them it makes sense to trade them and do so with more than your standard amount of capital (note you may have to close another trade to stay within your risk budget)The book also shows how some of the best trades set up when technical buy/sell patterns match what fundamental information is suggesting.Another highlight of the book is what Donnelly calls his 25 Rules of FX Trading. He introduces each one when he is discussing the relevant topic to which it relates and then summarizes them all at the end. Following them will not guarantee that you will make money, but it will ensure that you trade with discipline and full knowledge of what you are doingOther topics addressed in the book include choosing your trading time horizons, picking stop loss points and trade targets, trading news releases (often initial moves reverse in a few hours), and inter-market correlations. All these topics are discussed with clarity and real-life examples.Do not miss Donnelly’s discussion of the January 2015 event when the Swiss National Bank removed the floor they had imposed of 1.2 on the Euro/Swiss Franc the day after they has said they would not. This event bankrupted many traders, brokers and bank trading departments. Donnelly uses this example to illustrate one of his 25 rules that “Anything can happen”In summary, I found this book absolutely wonderful. I have been trading FX retail for about 1 ½ years. I have a finance background and have traded stocks, options and financial futures (for myself not professionally) for many years but never FX. This book answered all the lingering questions I had about how to find trade setups, evaluate and manage them. It also completely revolutionized my understanding of risk control. I thank the author and urge anyone interested in trading to read it.

If you are really serious about trading Forex, this is the best book to read. From basics Forex concepts to Technical and Fundamental Analysis, you have all you need to have a good grasp of FX market. Trading the news is the part that I love the most. It was really hard for me to understand how to approach the news and trade them. Brian has done an outstanding job putting in details what you need to know and how to deal with it.I have always been passionate about the Forex market. The only thing that kept me from taking action was a book that could tell me exactly what to do, where to start and how to stay motivated in that journey. The Art of currency Trading has all in it. I take the book with me everywhere I go. I have completely read it, but I do not just leave it on my shelf. It’s always in my car with me or on my desk because it’s my Forex bible.It was hard for me to come up with a trading plan and a Trading Strategy, because I did not know where to start and what to write. I did not finish reading the book and I found inspiration to write my trading plan and my trading strategy.I highly recommend this book to anyone who is really passionate like me about not only trading the Forex Market but also understand the Fundamental about it.

Trading is a skill, and it can not be learned by reading a book but only by practice. Nevertheless, before approaching the practical part' it is necessary to master the theory behind the act. This book is a must for anyone interested in mastering the art of trading. It is written by a professional with proven track record, and it covers all the relevant issues in an accessible and clear manner, without tricks and shortcuts . This is a manual every FX trader should get and revisit daily. No doubt it has a great value for money and if your intentions regarding the FX trading are serious, you should definitely buy it.

Easily the best book written on how to professionally trade FX and one of the best ever written about trading in general.Some hard truths about trading are being expounded here, such as you have to do the work to gain an edge, and you probably can't chart read your way to millions. At the same time, there is no arrogance here, just the humility that comes with 25 years of being a professional trader and along with it, a roadmap to success that is laid out in a logical format with plenty of real-life examples along the way. Brent is extremely generous in sharing exactly how he formulates trading ideas, executes them, and how he manages that risk from the outset.It doesn't really matter what level you are at, this book is sorta a textbook you should just have on hand.

This is the best book i have read about FX trading. it is obvious that the author tried to put his experience in the book. It has a good narative and it is very interesting to read. there is lots of information to analyze so be ready. First problem is that the charts are in black and white and hard to distinguish the flow of the chart. Second is that in some of the very important topics the autor skips through the discussion and does not disclose any details. i hope he comes up with a Vol 2 of this book with more details cause i love the way this book is organized and i really wanna get more out of it. I am new into trading world and i learned a tone from this book. i cant wait to apply my new knowledge into the market. definitly recomended.