TheRiskBlog

What can I say about the book?
Jack Schwagers “Market Wizards” is without a doubt one of the most important books about markets, trading, traders and risk management and therefore   you should read it.

The reason is very simple.

Jack Schwager completed interviews with some of the best traders in the industry. Some names you will probably recognize : Richard Dennis, Ed Seykota and Van K. Tharp.

And fortunately he didn’t put much more than those interviews in his book. He just let the traders speak for themselves!

During this process he asked every interview partner the same questions, about their beginnings, their biggest losses or gains and their personal idea of good trading.
This gives us, as readers, the great opportunity to compare the different opinions, strategies and biographies.
We see among those great traders some who rely on technical systems, some are more discretionary, others only trade futures, and there are stock traders. In this collection you get a wide range of different traders.
But in the end you will discover, that there are many similarities among those 17 traders.

Nearly all of them made failures and lost money in their beginning days. But they didn’t give up their idea of being  good traders and continually winning money in the markets.

If you read carefully you will see, that every one of them has developed his own system of Risk-management, which gives every trader the chance to keep losses tamed.

Ed Seykota makes a point in his interview: “The Elements of good trading are: (1) cutting losses, (2) cutting losses and (3) cutting losses. If you can follow these rules, you may have a chance.” (From Jack D. Schwager, Market Wizards)