A book review of Making Money From Trading by Cat Davey

Firstly, I would like to state that this book is one of the only ones that explore the emotional journey that a trader goes through, and it does it very well, with a “Waterworld” or “ego trade” a page. It perfectly captures the mental anguish one goes through when making a loss trading. So, on that note, this book gets full marks from me. However, this book really doesn’t have much in the way of strategy when trading, and although the references to the emotional aspects of trading were good, it did feel a bit overdone and sensationalised.

What I mean is that I doubt the average trader would go for neurolinguistic therapy.

However, this book was not entirely exempt from references to trading – she does list her favourite stocks and how many positions she opened at the time, and the Profit/Loss accounts with the win/loss trade ratio at the beginning of every chapter was very well done. It really conveyed the concept that you don’t have to win most of your trades to make a profit.

What this book also did well was that it showed how her change in mindset was a factor in her success and exactly how it was a factor. Her continued Waterworld references conveyed her point of how easy it is to be consumed by your ego when trading excellently, and I liked the doses of her personal life that she sprinkled in, for example meetings with her ex-boyfriends. The best thing about this was that it all was eventually related to the stock market – she did not digress in any way.

One of the major issues I had with this book, however, was that it listed the technical terms to know at the end of each chapter. The reason why I think this was bad is that the reader would not want to read through a chapter not knowing what some of the words mean, only to discover that it was there at the end of the chapter after all. Even if the reader did want to know what the words meant before the actual chapter, he would have to find the end of the chapter and go back  to look at it all over again. This was more of an inconvenience than anything else, to be honest.

Overall, I really enjoyed the book, mostly because of it’s show of the emotional journey of the trader, something which very few books do. However, I do feel that there should have been more references to trading, for example technical analysis and charting. I would also have sequenced the book in a more chronological way with the “key terms and lingo” at the beginning of every chapter, rather than at the end.

Despite these issues, however, I would say that this book is a must read, simply because of its brilliant uniqueness, more than anything else. Cat Davey has done a scintillating job with this book.

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