This is the most practical and thorough work I have seen on the subject, tackling a critical area that traders encounter much difficulty in grasping. Mr. Toma provides clear and substantive guidance to the trader seeking to function as a "risk manager" in addressing uncertainties associated with all aspects of a trading business. This excellent work, together with Mark Douglas' "Trading in the Zone" (focusing on the psychological aspects of trading) are about all any serious trader needs as textbooks. Mastering both psychology and risk in this very challenging arena is much easier said than done, but these tools certainly provide very tangible direction for the person committed to the work.
Being an engineer I spend my life are intellectualism. This guy wrote the book on intellectualism. I'm wondering if anything practical will come out of this book.
The classic war and peace novel on how to turn a door knob.
I have not bought a book on stock trading in 15 years because there is not much to talk about (nobody knows how to predict anything in the market). But I was curious about if there was something here, nope, another stock market book rip off. I'm sure this guy is rich, and great at what he does. But what he does is not in the book. Just endless ramblings about risk, with nothing that is all that practical.
Fluff... complete fluff. What a waste of time... I listen thru the whole unabridged audiobook during hurricane Sandy... poor guy narrating it... If you pick out any 5 consecutive sentences and then pick out another 5 consecutive sentences, there is a good chance they are repeating the same crap over and over. It belongs to the pile of retail trading books leading traders astray.
The only good point it brought up is the difference between mathematical probability and what the book called empirical probability (from statistical data), but it offers little on remedies. In fact I would say for all practical purposes, the book does not treat them any differently in the book.
But comparing to other retail trading books, I might be too harsh... maybe not.
I read 'Trading with Confluence' so I rushed to get this one. I thought it would be a continuation of the first book but the author takes a much deeper-dive into what traders need to do to improve trading. He does give setup suggestions in the book but puts lots of focus on getting a good entry price to reduce risk. He talks about stops of course but focuses more on all the other aspects of when to enter, exit and letting entry price tell me when I have a big enough edge to take the trade. Well written and easy to digest. Even has review study questions at the end of each chapter like a textbook. Don't see that too often but lets the reader know if they understood the concepts in each chapter. Well recommended.
First thing I noticed was that there are study questions after each chapter. The writer reminds the reader of the importance to trade consistently uses the analogy of being a project manager rather than a trader and focusing on execution and not thinking about profits and losses. `We are paid to execute a plan...not to be traders'. Such a different approach. Something that never really occurred to me if I hadn't read this book. This is one of those books that let you think about what you are doing as a trader and the hard work that is needed to get you to the next level. Not sure how many will invest the effort to work hard at improving themselves as the author challenges the reader to do so. Like anything, you need to work hard to be successful. Trading is certainly no different. Great read and very motivating!
This is a very interesting description of risk management from a unique angle that doesn't focus on just stop-losses for a change. The author describes a range of experiences that makes sense if one wants to invest the time into applying these principles. The author makes you think about all the other things that happen in trading that I need to address, such as my charting signals and data backup. He even talks about how your spouse should play a role in allowing you to be successful. It's definitely not your typical trading book on trading or even risk management for that matter. He also has a sense of humor throughout the book that only traders will truly understand. If you trade, it's a must read.
After watching some videos online from the author and I decided to read the book. It's a great read and the author uses his corporate risk experience using data analysis to help improve your results. I've read some books on trading and this is one of the only ones that really get into areas that I never thought of before such as using my trading journal to help me identify problems. I will be starting my development plan too which the author suggests to help identify risks in my trading and the training tasks I need to do to help me improve in the areas discovered. A keeper for sure.