Most trading books cover trading strategies that use a combination of candlestick patterns, chart patterns, and indicators. While they offer a comprehensive overview of trading methods, they are unsuitable for traders who want to focus on trading price action. in fact, price action trading books are rare finds.
After extensive research and review, we’ve put together 10 solid price action trading books. they are not listed in any order. choose one based on your current trading style and ability.
You are reading: Books on price action
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1. al brooks trading price action series
This series of three price action trading books has become an authority on price action trading.
Price action trading originated from Dow Theory, and traders have discussed various price action trading techniques long before Al Brooks’s books. Although Al Brooks did not invent price action trading, he certainly created a benchmark for price action traders.
In his “trading price action” series, he introduced terms like “second entry”, “trend bar”, “barbed wire” and “m2b/m2s”.
while these price action concepts are definitely not unique and have been known by other names, al brooks has added great value by combining them into a comprehensive trading terms and analysis system. the wikipedia entry on price action trading is almost like a summary of these three volumes.
The subtitle of his books is “Technical Analysis of Price Charts Bar by Bar for the Serious Trader“. I agree wholeheartedly. You must be a serious trader. At least, you should be serious enough to plough through hefty books in which the writing style ranges from “detailed” to “convoluted”. However, if you are serious about learning price action trading, you will definitely find value here.
if you want to start with something easier on the palette, consider our other recommendations below.
Take a look: The Galen Woods Trading Course “Day Trading with Price Action”
2. forex price action speculation by bob volman
bob volman focuses on a specific price action trading style that is not right for everyone. extract small profits from the forex market using the 70 tick time frame.
the writing style is genuine. And compared to Al Brooks’ price action series, this price action trading book is very easy to read. furthermore, it is not trying to sell you an online trading subscription or a $999 proprietary indicator. For me, it’s a huge asset to any trading book.
while al brooks describes an analysis system with less emphasis on exact trade setups, bob volman explains seven clear trade setups. So if you’re looking for accurate trading setups for scalping, Bob Volman’s book is what you need.
If you want to familiarize yourself with its methods before you decide to buy it, take a look at these forum threads.
- bob volman price action scalping (t2w)
- bob volman price action scalping (big mike trading forum)
Of course, without reading the book, these threads offer limited value. however, they offer insights from traders who have already tried their methods.
Update: Bob Volman published a new book on analyzing price action in the 5-minute time frame. Check it out – Understanding Price Action: practical analysis of the 5-minute time frame
3. martin pring on price patterns
martin pring calls this book “the definitive guide to analyzing and interpreting price patterns.” covers all the essentials of price pattern analysis, including:
- support and resistance
- trendlines
- volume analysis
- breakout analysis
- chart patterns
- bar patterns
the selection of themes is fantastic. This price action trading book gives you everything you need to start learning price action analysis. it is organized and concise.
It is not a book that teaches you how to trade setups with a complete trading plan. however, it is one of the best for choosing price pattern tools that will help you trade profitably.
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The book also comes a DVD that has a seminar given by Martin Pring on the latest tools for price pattern recognition. Great value.
4. candlestick charting techniques by steve nison
After Steve Nison introduced Japanese candlesticks to western traders, the candlestick chart has become an essential feature of any charting platform and the default chart type for most traders. For many traders, life is never the same and it’s much brighter.
candlestick charts add a lot of depth and variety to traditional bar patterns (such as those covered in spring price patterns). Poetic names like envelope, hammer, shooting stars are now common among price action traders. Typical candlestick trading strategies include combining candlestick patterns with chart patterns and pivot points.
While information on Japanese candlestick patterns is easily found online for free, they are poorly organized and comprehensive. For a reliable and organized way to learn candlestick charting, get Steve Nison’s book.
If you are happy with what you see in this book, take a look at Steve Nison’s other book, Beyond Candlesticks: New Japanese Charting Techniques Revealed
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5. integrated pitchfork analysis: basic to intermediate by mircea dologa
Trend line analysis is a key tool for trading price action. however, trend lines typically occupy at most one chapter of any price action trading book. Andrew’s Pitchfork is the only trendline trading method that has entire books written on it.
While Andrew had a unique way of drawing his trend lines, price action traders can easily adapt their trading techniques for traditional trend lines and price channels.
There are several books on pitchfork analysis, but this one written by dr. Mircea dologa stands out. it is clearly written with a comprehensive scope and well presented for beginners who have never heard of hanging. Plus, we couldn’t help but notice the rave reviews from well-known technical analysts like Chuck Lebeau and Dr. hank pruden.
6. the ultimate trading guide
Being a definitive guide, it’s no surprise that this book has three authors: John Hill, George Pruitt, and Lundy Hill. this book is oriented to the development of mechanical trading systems with price action behavior.
While the final chapters on mechanical systems may not interest the discretionary price action trader, most of the book focuses on price action behaviors such as action/reaction, continuations, reversals, and trading zones. support/resistance.
topics include:
- practical applications of elliot wave theory
- specific bar pattern trading opportunities
- channel trading
- swinging trading patterns
While its content is piecemeal and by no means “ultimate”, there are many hidden gems within this price action trading book. All in all, it does an excellent job of deriving exceptional trade setups from price action. Traders looking for new trading ideas should find some interesting stuff here.
The Yum-Yum continuation pattern is an example of a setup from this book.
7. a complete guide to volume pricing analysis by anna coulling
I decided to include this book because many price action traders use volume in their price analysis. And notably, Al Brooks does not feature volume in his trading methods. Hence, this book is a great complement to the Trading Price Action series for traders who like to include volume in their trading.
This book is a concise work covering everything you need to know about volume analysis. Anna Coulling’s explanation of how and why volume analysis works is easy to follow.
Although volume is a key ingredient in dow theory, most traders find it difficult to truly understand the impact of volume on their trades. most volume trading methods are obscure and difficult to implement.
in her book, anna coulling has managed to keep things simple and practical. This book is a real bargain for traders looking for their first book on volume analysis.
8. encyclopedia of graph patterns by thomas bulkowski
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Wonder if chart patterns are reliable?
thomas bulkowski’s encyclopedia tells you much more than that. Using solid market data and statistics, it presents:
- chart pattern identification guidelines
- success and failure rates in bull and bear markets
- optimal accompanying volume patterns
- trading methods (including exits)
- characteristics of failed patterns
While this book does not prescribe an exact trading strategy, it has more than enough facts and figures for you to construct your own trading tactics and have faith in the patterns you are seeing.
This book is second to none when it comes to a statistical study of price chart patterns.
9. trend rating and trading by l. a. little
Identifying the trend or lack thereof is the cornerstone of successful trading. It applies not only to price action traders, but also to traders of all styles. therefore, it certainly deserves more attention than a simple definition.
than me. a. little attempt at the book from him is commendable. built a framework for scoring trends and finding the best among them, using only price and volume. This idea of using price and volume to confirm trends is appealing to price action traders who want a minimalist style of trading.
price action traders commonly delegate the work of defining the trend to moving averages or simple trend lines. I one little goes further and carefully analyzes the structure of trends to assess their quality. While the concepts are not revolutionary, the trend-oriented approach of this book is beneficial and offers a different perspective on trend trading.
The Anchor Zones is a concept from L. A. Little.
10. art & science of technical analysis by adam grimes
In case you’re wondering why we included this book for price action trading, its subtitle is “Market Structure, Price Action, & Trading Strategies” which really sums it up.
This price action trading book is very well organized and packed with good trading ideas. After explaining the dynamics of the market structure, he focuses on clean charts and explains clear trading setups while highlighting the “art” of trading. the section on practical business templates is especially impressive. Instead of prescribing exact rules or staying away from details, it offers robust templates that you can use based on your own analysis.
read: a template for a simple business strategy
Along with sections on risk management and an entire part aimed at the “individual, self-directed trader”, this book is one of the best comprehensive guides for price action traders.
are you ready for price action trading books?
Before you dive into the deep end of price action analysis, remember that its roots are in technical analysis. make sure you have a solid foundation in technical analysis before delving into price action trading.
For that, I recommend you take a look at the Certified Market Technician Program Level 1 Reading List.
If you’re already familiar with the basics of technical analysis and hoping to hone your price action trading skills, go ahead and choose one of the price action trading books above.
reduce the time it takes to master price action trading. Get your time back with a concise package of price action learning materials.
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