Welcome back to the blog and another DiaryOfAFinanceKid book club recommendation. I was recently referred to this months book by a veteran trader who said that this book features the main principles that any new trader should understand before attempting to master the markets. He was not lying. Much like the my previous recommendation back in June 2020, there are certain books that are “must reads” for any industry and this is one of them.
This months book recommendation is Trading and Exchanges Market Microstructure for Practitioners by Larry Harris.
From Amazon – This book is about trading, the people who trade securities and contracts, the marketplaces where they trade, and the rules that govern it. Readers will learn about investors, brokers, dealers, arbitrageurs, retail traders, day traders, rogue traders, and gamblers; exchanges, boards of trade, dealer networks, ECNs (electronic communications networks), crossing markets, and pink sheets.
The main purpose of this book is to teach you who and what creates the financial markets and participates in the trading of assets and securities on a day to day basis because these are your competition. Remember, trading is a ZERO SUM GAME. For every £1 made, someone loses £1 and this is why you need to find and edge.
The author, Larry Harris, is a man of great experience having been the Chief Economist of the U.S. Securities and Exchange Commission (SEC) and serves on the boards of multiple financial institutions including Interactive Brokers, Inc. (IBKR), the Clipper Fund, Inc. (CFIMX), and CFALA, the Los Angeles Society of Financial Analysts.
There is a reason why the original hardcover editions of this book retail at £100. However, new and used paperback versions can be found much cheaper via the links below.
Both paperback and e-book copies can be purchased via the links below.
Paperback Edition – https://amzn.to/37YULLA
Kindle Edition – https://amzn.to/35Ux5FM