A great introductory book on trading futures. Unlike those tour guide style trading books, the author essentially disclosed a practical method to trade commodity futures and specifically the S&P 500 index future. His LSS method is his distilled wisdom from classic trading techniques. Many famous traders nowadays all acknowledge this book as one of their major influence. It is how significant this book is in the trading world.
Winning In The Future Markets: A Money-Making Guide to Trading Hedging and Speculating, Revised Edition
Written by George Angell
The book starts out with a quick introduction to the US future markets. Once the essential basic information is covered, different ways to tackle the markets are discussed. It deviates completely from other trading books at this point as the author focuses totally on the practical side of trading.
The major chart patterns are covered but the author does not put too much emphasis on them. Several other trading concepts are discussed as well. The real value of these chapters is not the explanation of these concepts but how he reduces the complex ideas into simple rules so that he does not need to guess during the heat of the battle.
The all famous LSS method disclosed in this book is actually a modified version of the Taylor’s method as the author stated clearly in the book. George Douglas Taylor wrote a book called the Book Method in the 1950s that is probably the earliest known mechanical trading style documented. The author took the concept from Taylor and added his own ways to adapt the technique into trading the S&P index future and other markets.
The important thing to take from the book is not the rules outlined in the book, but how the author focused on using evidence (i.e. the price data) to fine-tune his trading techniques to adapt to the environment. This attitude from the experienced discretionary traders like the author makes it possible for them to be competitive against a world flooded with bots.
I highly recommend this book to all traders, not just those who trade commodities or index futures.