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From Barnes & NobleThe Barnes & Noble Review
If you've ever been taken for a ride by the stock market, then this book might be your best revenge. Although his style isn't for the faint of heart, expert trader Michael Parness, a former victim of Wall Street's whims, offers pugnacious and, most important, sound advice on how to take advantage of market fluctuations and trends.
Parness, who lost his life savings in a bad investment and then came back to amass a $7 million fortune, isn't interested in making long-term investments. In his view, companies don't care about you -- they only want your money -- so why should you be loyal to their stock, thereby tying up your capital for years? Instead, why not be a perpetually active trader, constantly exploiting the market to obtain a faster return?
Early in his book, Parness offers exercises to see if you're trader material and whether you have the time, energy, and nerve to go at it effectively. If you can bear to hold onto a stock for just a few days -- or even just a few minutes -- without cracking, then you're a potential trader. Of course, trading stocks needn't be that extreme, but the dedicated trader will execute fast-moving trades without remorse or hesitation. Parness wants to make trading fun as well as profitable, but he also recommends research and careful preparation.
How can profits be assured in any market, particularly a volatile and uncertain one? Parness dissects the broad psychology of the market and reveals effective methods for responding to fluctuations: Although he acknowledges that no one can accurately predict which way a particular stock is going to go, he reveals the trends that provide some fodder for predications. If you can master the underlying psychology, you can profit in the market -- even when it's in a bearish phase.
For all his bravado and winner-take-all attitude, Parness has amassed a lot of smart rules to help traders help themselves to avoid financial disaster. This book is for anyone who sees the market as a psychological game but has the self-discipline not to get pulled into it. (Holly McGuire)
Holly McGuire is a book editor and consultant based in Chicago, Illinois.