Now you can master the art of foreign exchange trading
While most currency trading and foreign exchange books focus on international finance theory or simplistic chart-based strategies, The Art of Currency Trading is a comprehensive guide that will teach you how to profitably trade currencies in the real world. Author Brent Donnelly has been a successful interbank FX trader for more than 20 years and in this book, he shares the specific strategies and tactics he has used to profit in the forex marketplace.
The book helps investors understand and master foreign exchange trading in order to achieve sustainable long-term financial success. The book builds in intensity and depth one topic at a time, starting with the basics and moving on to intermediate then advanced setups and strategies. Whether you are new to currency trading or have years of experience, The Art of Currency Trading provides the information you need to learn to trade like an expert. This much-needed guide provides:
- an insider’s view of what drives currency price movements;
- a clear explanation of how to combine macro fundamentals, technical analysis, behavioral finance and diligent risk management to trade successfully;
- specific techniques and setups you can use to make money trading foreign exchange; and
- steps you can take to better understand yourself and improve your trading psychology and discipline.
Written for currency traders of all skill levels, international stock and bond investors, corporate treasurers, commodity traders, and asset managers, The Art of Currency Trading offers a comprehensive guide to foreign exchange trading written by a noted expert in the field.
About the Author
BRENT DONNELLY has been trading currencies since 1995 and is currently a senior FX trader at HSBC New York. A respected macroeconomic and currency analyst, Brent writes AM/FX, the widely-read macro and FX daily. His work has been quoted by The Economist, The Wall Street Journal, Financial Times, Bloomberg, and other influential media outlets. Over the course of his career he has been a market maker, trader, and senior manager at industry-leading foreign exchange banks such as Citi and Nomura and at a major hedge fund in Connecticut.
Table of Contents
Chapter 1 Introduction 1
Part I Understand the Foreign Exchange Market (FX 101) 7
Chapter 2 A Very Brief History of FX 9
Chapter 3 Currency Trading Basics 17
Chapter 4 Understand Market Structure 37
Part II Trade the Foreign Exchange Market 71
Chapter 5 Understand Fundamental Analysis 73
Chapter 6 Understand Technical Analysis I 107
Chapter 7 Understand Technical Analysis II (The Seven Deadly Setups) 155
Chapter 8 Understand Correlation and Intermarket Relationships 179
Chapter 9 Understand Behavioral Finance 221
Chapter 10 Trading the News 255
Part III Understand Risk Management 293
Chapter 11 Understand Free Capital 295
Chapter 12 Understand Position Sizing 321
Part IV Understand Yourself 351
Chapter 13 Characteristics of a Successful Trader 353
Chapter 14 Common Weaknesses in Trading 361
Chapter 15 The Voice of Experience 369
Chapter 16 Conclusion 379
Brent Donnelly’s 25 Rules of FX Trading 381
About the Author 383