TECHMOON
                     TECHMOON
Top 6 Essential Beginner Books for Algorithmic Trading
INTRODUCTION:
The term “Algorithmic trade” or “Algorithmic Trading” is now so widely familiar to 
everybody that some careless authors take advantage of this and wedge it in the name 
of their books to attract readers’ attention.
The reader sees such books and makes sure that s/he reads about algorithmic trading, 
when in fact he or she is told about automated one.
The request to Amazon.com according to the words “Algorithmic trading” throws more 
than 900 books and several dozen have this phrase in the title.
OVERVIEW:
We will be discussing the following books in detail:
❏ Way of the Turtle by Curtis Faith
❏ The Peter Lynch Approach by Peter Lynch
❏  Algorithmic Trading and DMA: An introduction to direct access trading 
strategies, 2010 written by Barry Johnson
❏  High-Frequency Trading: A Practical Guide to Algorithmic Strategies and 
Trading Systems written by Irene Aldridge
❏  Quantitative Trading: How to Build Your Own Algorithmic Trading Business 
written by Ernie Chan
❏ Art of war by Sun Tzu
Way of the Turtle by Curtis Faith
Richard Dennis was the initiator of the experiment.
Two traders in the 1980s argued with each other for $ 1, which can be taken from the 
street person (“turtle”) and teach him to trade.
There was a contest of 1200 people. Of these, 24 people were selected. They were 
showed one model.
For two years, these people earned 200 million dollars, in 1986, not having a computer, not 
having almost nothing.
All transactions are carried out by voice only.
The model involved a trade in which it was possible to be wrong 11 months a year, 10% of 
positive inputs, and they earned them.
 
The Peter Lynch Approach by Peter Lynch
The book was published in 1989, which is why some ideas described in it have become rather old.
However, it is an excellent resource of information, especially for those who invest in cryptocurrency playing a 
long game.
The book will teach how to recognize the future market winners.
Peter Lynch preferred the humanities before heading the Fidelity Magellan Fund, one of the most successful 
investment funds in the history of financial markets..
He was the first to find stocks with the potential for future long-term growth.
Today, information is transmitted much faster, and it may seem that it is impossible to find a promising project 
about which other investors have not heard.
 
Algorithmic Trading and DMA: An introduction to direct access 
trading strategies, 2010 written by Barry Johnson
The most right book about algorithmic trading in its strictest sense is algorithmic execution 
of orders.
It has a standing offer on the table for reading to anyone who is engaged in the 
development of algorithmic engines in brokerage offices, investment banks, or under the 
investor’s wing.
This book is not about automated trading. It makes no mention whatever of robots, 
Japanese candles, Elliott Waves, and Fibonacci Numbers.
 
 High-Frequency Trading: A Practical Guide to Algorithmic 
Strategies and Trading Systems written by Irene Aldridge
There are general characteristics of the markets, the basics of the microstructure of the 
market, the classification of high-frequency algorithms, risk management, backtesting, and 
analysis of the programs.
Everything is on a technical level, to understand what is useful; you have to wade through 
a bunch of generalized information.
However, the directions given are correct.
Quantitative Trading: How to Build Your Own Algorithmic 
Trading Business written by Ernie Chan
This book deals with automated trading in general, without focusing on high-frequency 
strategies.
However, the separation of algorithms is carried out – pulsed-type (momentum) and 
bidirectional (mean reverting), which is essential for HFT.
There is also a lot of talking about backtesting and where to get ideas for algorithms. 
Art of war by Sun Tzu
The book is the perfect guide to beat the opponents in various conflict situations.
The main idea of  the book is that only methods of warfare change, the nature of man and 
the laws of war remain unchanged.
According to the author, the art of war is based on the two most important instruments of 
warfare, which are tactics and strategies, applying which you will win before the “boiling 
point” of the conflict.
Based on this book, Dean Lundell wrote The Art of War for Traders and Investors, which 
describes how to apply Sun Tzu’s methods to attract profits in trading.
Of course, this is not the whole list of books for a novice trader, but this is the basis for 
your successful trading.
 
Conclusion:
Hereby Viewers, We summarize the ideology by the  very simple quote on 
quote words,”Books Spread the individuality of thoughts in one’s 
personality.”
Hope this Helps! :)
Techmoon
Thankyou!