5 comments about Option Strategies for Directionless Markets: Trading with Butterflies, Iron Butterflies, and Condors.

1. I'm usually pretty open to reviewing books. Sometimes I get books that I can't do justice to in reviewing. The following two books may be examples of that:
   
   Option Spread Strategies: Trading Up, Down, and Sideways Markets
   
   Option Strategies for Directionless Markets: Trading with Butterflies, Iron Butterflies, and Condors
   
   I'm not an options trader. Do I understand the math? Largely, yes. Do I understand how they can benefit investors? Also yes. I occasionally use options to enhance income, but for the most part, I avoid using them for personality reasons. I fear that I would make bad decisions while working at a higher level of leverage. I don't trust myself.
   
   As for the books, they are clear and well-written, giving both the common view of options, and the view using the "greeks" a la Black-Scholes. The chapters explain, and then offer tests at the end to see how well you have understood. These could be textbooks in a business school.
   
   The books explain how you can make money in any environment if your view of the world is correct. That's the catch, though. Few of us get it right within the length of time before an option expires. Be wary of the correctness of your opinions.
   
   Now, my opinion is not of the highest value here. Better to consult Adam Warner or Bill Luby, who have far more practical experience on a retail level. My experience is largely institutional with respect to options.



2. this book did very little for me. already knowing the basics, i was looking for something more, but this book didnt deliver. dont bother.



3. Before I purchased this book, I was looking for a text that would allow me to perfrom options trading in a practical manner i.e I was looking for clear description in what to look for prior to setting up trades, how to define the probability of stocks / indices hitting my target, entrance strategies, exit stratagies, rescue scenarios and soild money mangement techniques. I was also looking for examples of "real" trades that were performed. When I got the book my first impression was that it looked like and read like a school mathematics text book. There were lots of information but not much that could help me practically. The diagrams in the book are well drawn, but again they look like school book text with lots of theory. I do not think having questions at the end of every chapter were really that useful. However the chapters were well written and did provide some useful information for the novice option tarder
   
   I think a better approach would have been to focus on three or four strategies and provide text showing how to apply these to trades starting from what to look for, probability set up, entrance and money management. Also it would have been useful to provide a chapter on how to get started, dealing with things such as virtual trading, potential brokers, charting etc.



4. Long Iron Condor is defined in conventional wisdom as Bull Put Spread and Bear Call Spread with a gap in between. (Wikipedia)
   However, this book is relabeling it as Long Iron Pterodactyl.
   Furthermore, this book redefines Long Iron Condor as a series of Calls with 4 different strike prices with no gap in between.
   How confusing is it!
   It appears that the author is trying to reinvent the strategy and giving them different names.
   
   On the positive side, this book is being laid out as a workbook with quizzes and answer keys, have graphs and explanation how the greeks affect the strategies.
   Had the author have the strategy definitions straight, it would be a worthwhile book to read.
   
   Highly NOT recommended for beginners, and only worth a little glance for advanced traders.



5. After having learned much from Saliba's first book on options, I was disappointed that there wasn't much new here for experienced options traders. Those contemplating these types of directionless strategies should not forget that they will likely experience long strings of small winners puncuated by infrequent huge losses that can wipe them out.

5 comments about LEAPS: Long-Term Equity Anticipation Securites: What They Are and How to Use Them for Profit and Protection.

1. If you want to learn about the many LEAPS trading strategies in existence, this book is for you. If you want to learn the theory behind LEAPS (and options) then you have to buy a different book.



2. This is probably the worst written book I have ever read. The author obviously understands the topic but it is one thing to know a subject and another thing to teach it. I am a physician and I have read my share of books.



3. This book, published in 1993, is now a classic and the definitive guide to trading LEAPS. It provides an excellent introduction to LEAPS and takes the pain to explain how LEAPS differ from traditional options. If you already have knowledge of options, this book will be a breeze to you, thanks to the author's lucid and humorous writing style. Do keep in mind that LEAPS are more than just longer-term options; pricing them using BS, for example, would be quite wrong.

   Which brings us to the drawback of this book from the early 90s. Much as changed to LEAPS -- the demand, the valuation methods, the trading mechanics -- since 1993, and this book would have remained great had it been updated. As it stands, you should definitely use it in conjunction with the web to make sure you get the latest info on these securities.

   One last thing: if you are set on trading LEAPS, make sure your broker can accommodate it. My online broker is great for trading options, but it turns out they won't allow LEAPS for accounts less than $50k, which include mine.

   In short, I recommend this book highly as a primer to LEAPS. Read it from cover to cover and make sure you duly understand all the RISKS involved, not just the potential gains. Good luck!




4. LEAPS is a helpful manual and it can be followed by readers who have basic knowledge on options. Roth analyzes in a very vivid and enjoyable way LEAPS and offers to the investor all the necessary background. I really enjoyed reading it.



5. This book is clearly written and was well worth buying. I wish I could benefit further from this man's work and knowledge, but unfortunately he died several years ago.

5 comments about Futures, Options, and Swaps.

1. I found this book very useful, easy to read, and easy to navigate when trying to quickly find how to structure hedges or trades. I was also lucky enough to have one of the authors as my professor. Though I highly recommend previous coursework in Derivatives, this book will also introduce basic fundamentals of Derivatives.



2. I bought this book for one of my MBA classes and it's a perfect textbook that goes into detail, has great examples, and even has some fascinating side facts. For example, in Chapt. 2 the author explains all the hand signals/motions for futures trading in the pit at the CME/NYMEX. Overall, I couldn't be happier with the book and how much I have learned.



3. "Futures, Options and Swaps" offers good coverage of several major types of financial derivatives (futures, options and swaps). This book was a core reading for one of the CFA (Chartered Financial Analyst) examinations when I took such examinations a number of years ago...a strong suggestion that this is an authoritative publication in the financial sector.
   
   Robert Kolb does a good job covering the subject matter from the perspective of how to accomplish something with a future, option or swap. Moreover, Kolb makes a point of consistently offering commentary as to why one might use a certain financial instrument for a given task/problem.
   
   For those readers with an interest in learning more about futures, options and swaps, this is a good source of information.



4. Let's face it: the big Kahuna in this space is Hull's 6th Edition of "Options, Futures, and Other Derivatives" (I actually prefer the 5th Edition), which is frequently referred to as "The Bible" by financial quants. Paul Wilmott's two volume "Quantitative Finance" also has a solid following, in addition to growing appreciation for Mark Joshi's "The Concepts and Practice of Mathematical Finance." Robert Kolb's "Futures, Options, and Swaps" therefore is often confined to an "also-ran" and treated as unserious because of its inclusion in the CFA curriculum. This is unfair, and for most undergraduate and MBA students who are not destined for derivatives dealing desks, and even many who are, Kolb is the better volume.
   
   Critics of Hull frequently cite that he is dry and technical to the point of somnolence. For Wilmott the opposite is the case. Critics hold his tone is flippant and that he glosses over major dimensions. My own view is these harsh reactions to these fine authors are exaggerations, but do have some evidence to support their expression. This, as a professor, leads me to the conclusion that for many students the author's tone is a major factor in their successful engagement with a fundamental teaching text.
   
   This leads me to Kolb's excellent works. Many undergraduate and some MBA students of derivatives use "Hull lite" ("Fundamentals of Futures and Options Markets"), but I encourage the wider adoption and use of Kolb's "Futures, Options, and Swaps." Kolb is superior to Hull for tone, accessibility, lucidity, and utility. Where Hull reaches for a completist coverage of obscure pricing models, Kolb's coverage is instead complete in a practical sense, while not abandoning treatment of less well-known options and their pricing models. Kolb's clarity is commendable, and never dry. Kolb does not gloss over or ignore difficult topics, and his style is never pedantic or superficial.
   
   This text does, however, contain any number of horrible errors and editing snafus that frustrate the reader. The errata sheet from the publisher does little to ameliorate the pain from these howlers. One wonders how a book can contain so many errors in such a competitive field. But it is fairly easily explained: because of Kolb's adoption by the CFA curriculum, there is a floor of near guaranteed sales that creates a non-competitive economic rent.
   
   I particularly recommend Kolb over Hull and Wilmott for those students whose background is not mathematics, engineering, or hard sciences. While the book is technical, it is not written in near-code geek speak. For my MBA students who are "poets" rather than "rocket scientists" Kolb wins as hands down favorite. Hull remains excellent for experts, PhD students, technicians, and pricing specialists, however, Kolb certainly deserves wider respect and use by the majority of students of derivatives. In short, while flawed, Kolb is an excellent and accessible work. I recommend the wide adoption of Kolb's "Futures, Options, and Swaps," and in fact, all his other works, for most students of finance.



5. After studying this book, you will know the technical intricacies of futures, options, and swaps. It has also excellent definitions of all the "Greek" risk measures (Delta, Vega, Gamma, etc...).

   The book is well organized. The chapter sequence makes good sense. This is a good book overall.

5 comments about Paul Wilmott on Quantitative Finance 3 Volume Set (2nd Edition).

1. Wilmott certainly is not a mainstream guy and so his boks aren't mainstream either. As some topics (e.g. portfolio theory) are dealt with in a rather shallow fashion, this is not the most brilliant book on quant finance conceivable. But as Wilmott takes a no-nonsense, practical perspective it is by far the best textbook on (equity) derivatives and a great reference. Best of all: It is fun to read...



2. After Fin. Engineering with math major still found the book very useful. Easy understanding, skipping tedious proofs to prevent sidetrack readers from the core of subjects.
   
   What I enjoy most of the book is the VBA programming, not all the sourcecodes are mentioned in the book, but readers should figure out the reason behind. Very worth to keep one at your office.



3. Wilmott compendium is nothing more but a summary of all the other books that he managed to publish thus far. This, however, is not the problem. The real problem is that his books continue to lack depth and applicability. None of the chapters will help you to solve real problems nor will it give you guidance of how to implement the models (which some few exceptions). If you are looking to buy a real comprehensive compendium on quantitative finance, which is full of state-of-the-arte examples, problems (problems that really count) and explanations go for the new Carol Alexander books on quantitative finance (part I-IV). She has set the industry standards.



4. This book was a big disappointment for three reasons: 1) it doesn't have a proper focus. Author wanted to cover everything and that's why the book is making sloppy impression, i.e. too wide and not too deep when it is necessary; 2) it doesn't help you as a quant in the everyday quant life. It doesn't show you how to backtest models, it doesn't tell you how to use all this knowledge in the practical way, it doesn't even tell about the robustness and out of sample testing; 3) it is an arbitrary collection of known theories with some unexplained extracts from the different fields which are not connected with each other in the logical way.
   
   As the final accord: why the "quant bible" is based on the "normal" distribution. How long are we going to use all this useless in practice old concepts like Black-Scholes models etc?



5. Just an encyclopedia, however the author's way of telling the things and his extra comments make the reading of the book a very pleasant occupation.

No comments about The Smart Investor's Money Machine: Methods and Strategies to Create Regular Income (Wiley Trading).

5 comments about Spread Trading: An Introduction to Trading Options in Nine Simple Steps (Wiley Trading).

1. The Spread Trading words should be removed from the book title. You will not find much about spreads in this book, just few last chapters covering the very basics of spreads. The book is very basic and written in forms of dialogues between Lon & Shorty and other characters-like children book, which was very annoying to me. There is only theory, the very basics of options with no real trade examples, graphs etc... And there is very little and very basics about the spread trading. Do not expect to learn more then very basics of options from this book. The book should be put in teenagers section and priced accordingly. I felt like one while reading this book. If you want short and good intro to options I'd suggest Trading Stock Options by Brian Burns which is very well written with plenty of paper trade and real trade examples.



2. What this book does, it does very well indeed. And what it does is offer a relatively painless, yet accurate, introduction to option trading. But it's only a introduction. By no means does it equip the reader to go out and start trading options. There's more, much, much more, to the story than you'll learn in this book.
   
   There are several phases to option study, even before one begins to do paper trades. First of all, you've got to learn the terminology and the fundamentals. This book handles this very well. The author, unlike most who want to be teachers, remembers what it's like to be a student. Most "beginner's" books out there fall short because much of the time the author is talking to himself. Being able to hypothetically "forget" what you know and retrace the steps you took to get where you are is a rare skill, and one that few can master. There's a profound difference between knowing-how and knowing-that. It's much like learning a new language. A native speaker of French, for example, may know very little of French grammar, but he has a "feel" for his native tongue that a non-native speaker will never have, or, at best, will acquire only with much experience. The learner must rely on various "crutches"--like grammar books and various other teaching aids. The same is true of option trading, or any other skill. This book introduces and uses such crutches very skilfully, so that you don't even know you're using them.
   
   The second phase of learning options is learning the basic strategies. In order to do this well, you MUST learn how to construct a graph which shows the position of the option trader at expiration. And in order to do this, you MUST know how to construct a profit-loss chart. The profit-loss chart defines an option position. Once you have the chart, you can easily construct the graph. There are six basic moves in options trading, and any strategy, however complex, comprises one or more of them: long stock, short stock, long call, short call, long put, short put. When you open an option position, your profit-loss chart will include one or more of these basic moves, and define it for the facts you are given.
   
   The third phase of learning options assumes you know the basic moves, and shows how they are combined into more complex strategies. To do this, you must learn basic synthetics, the put-call parity equation, maximum profit and loss, and several other concepts. And again, this presupposes that you know how to construct the profit-loss chart and from it, the graph for a given strategy. At this point, you'll need to learn how to read option chains. Once you have a sound understand of synthetic positions, you can learn strategies such as covered calls, vertical spreads, and collars.
   
   Now, before you go any farther, you enter the fourth phase, which is risk management, which is arguably THE MOST IMPORTANT part of options trading. Without a solid understanding of it, you will lose your shirt if you start doing live trades. If you do understand it, you'll have losses, but they probably won't empty your account. Risk management includes learning the option Greeks and volatility, the use of stop orders (if you think you need them), and chart reading (technical analysis), which, in the context of options trading, is one tool in your risk-management toolbox. For this knowledge, I've relied on the Pristine method, which has the advantage of simplifying what many others delight in making difficult. One good thing about options trading is that you don't always have to be right on the direction of the underlying instrument, but it doesn't hurt to be right. If you're long, say, 100 shares of XYZ stock at 50, and the stock price goes above 50, you make money. If it falls below 50, you lose money. Option trading, once you understand certain strategies, opens a "window," a range of prices of the underlying stock, and if the latter stays within that range, you're good.
   
   The fifth phase is learning how to actually place a trade. This means learning how to read bid and ask prices, and learning how market makers think. When you move out into the real world to trade, keep in mind that although you're probably sitting at your computer, you're not trading with a machine. If you're buying, there are real people selling, and if you're selling, there are real people buying. And they don't want to lose money any more than you do. They want to make money, just as you do. Part of placing a trade is learning how to use an actual trade platform. I use Think-or-Swim which, for option trading, is very hard to improve upon. Once you've mastered the concepts in the first four phases of your study, you'll find a wealth of information at their site to enhance your knowledge. And their tutorials will literally walk you through the platform, which, if you're new to trading platforms, can be a daunting experience.
   
   The sixth phase is paper trading. If you've ever taken a serious exam, you know the value of doing practice exams ahead of time. You know that IF YOU DON'T HAVE THE KNOWLEDGE AND SKILLS TO PASS THE PRACTICE EXAM, YOU WON'T HAVE THE KNOWLEDGE AND SKILLS TO PASS THE REAL ONE. The same is true of placing option trades (or any other kind of trades). When you've applied what you've learned doing paper trades, and have a consistent record of wins and losses that you can live with, only then should you start doing live trades. Now, I'd like to tell you that doing live trades is just like doing paper trades, but I can't, because it's not. There's a different sense of reality when your own, real money is on the line. You can paper trade monopoly money all day long, and if you lose, you won't take it too seriously (although you should).
   
   For the first phase, I would recommend the book I'm reviewing, "Spread Trading." It will take you through the basics, and even introduce you to some more advanced concepts, such as the Greek delta, volatility, and the four vertical-spread strategies. But again I emphasize, you're only being introduced to them; the author's coverage will make it easier for you to study the real stuff. One great strength of the book is that you learn early on how to read option chains. When you encounter them again later in your study, you'll find it a breeze. What the book doesn't cover at all is the essential profit-loss charts. And again, unless you know how to put them together and take them apart, you won't be prepared for more in-depth study of the elements of risk management.
   
   For the second and third phases, I would recommend the book "Options for the Stock Investor" by James Bittman. As I mentioned in my review of that book, the second chapter, "How Options Work," will give you a solid understanding of profit-loss charts and graphs, and is itself worth the price of the book. For the fourth phase, I recommend "Trading the Option Greeks" by Dan Passarelli. I recently met him and listened to him lecture at an options expo in Las Vegas, and I must say that his approach is not only at a level of sophistication that you'll need for real-life trading, but he's also a fine teacher. For the fifth phase, I recommend "Trading Options as a Professional" by James Bittman. This book also covers phase 4 stuff very well, and you can integrate it with what you're learning from Passarelli. For the sixth phase, go to the Think-or-Swim web site, and download the software. It's now time for you to learn how to use the platform and begin paper trading. And their paper trading function is among the best out there. They also sponsor Option Planet, which consists of free lectures given at various times in different cities, and usually last six hours. Once you've gone through five of the six phases I've outlined, you'll be a very good position to benefit from these lectures. The people from Think-or-Swim are all pros, and they don't waste a lot of time explaining the rudiments. Even their most basic Option Planet seminar jumps in on the deep end.
   
   All of this may seem tedious, and some will argue that you don't have to be so systematic in order to learn options trading. Among them are (1) those who have already mastered the art, and have forgotten what it's like to be a beginner; and (2) those who don't know what they're talking about. In truth, there are no shortcuts in learning how to trade options (or anything else, for that matter). One way or the other, you'll pay. Either you'll pay the price in time spent studying and practicing, or you'll pay the market in losses. And once you're account is depleted, your trading career is over. When your own money is at stake, then if option trading is worth doing at all, it's worth doing right. And again, a very good place to start is with the book "Spread Trading."



3. Greg Jensen takes material that is complex and no one can say that spread trading is anything but yet he presents it in a clear and concise manner using Lon and Shorty (Long and Short) as his two main characters so it tells a story and a good one at that. I have read it cover to cover and am now going back and forth through the book as it is great material presented in a easy to read method that makes you want to take your paper trading to the next level. Remember practice practice practice before you trade real $$$$$



4. This was the first book I've read on option trading and I can't say enough good things about it! Options have always intimidated me, but after reading even the first half of this book I realize it's not as difficult as I once thought. The book is well writeen and includes reviews, questions and summaries to keep the reader engaged and putting into practice the content being taught. Two thumbs up go out to Greg Jensen for taking something perceived as being very difficut and making it easily understood for all who care to know!



5. As someone who has read a great deal of options trading material, this book definitely stands out above the rest. By covering complex terminology and concepts in story format, Spread Trading delivers a unique reading experience for beginners. This book avoids the oft-repeated pitfall of many authors and instructors who try to teach options to those who are new: they have forgotten what it is like to be a beginner. The need-to-know material has been presented in a clear, easy to understand manner. I highly recommend this book to those looking for an introduction to options.

5 comments about Trade Options Online (Trading for a Living).

1. WARNING!!!
   
   I found this book to be very well written and appeared to be carefully put together.
   
   That is until I got to Chapter 6 in which I found glaring mistakes. Case in point, the description of the bull put spread is written such that the author has used different strike prices throughout his example, resulting in an unreadable, confusing mess.
   
   This is unfortunate as I think that if the author or his publisher had taken the time to proof the book, these examples should have been corrected.
   
   Save your money and find another book to use as an introduction to options trading.



2. If you are a beginner to securities trading (options or otherwise) Fontanills' book (2009 Edition) provides a solid foundation. I venture to say that any beginning trader, who wishes to whittle down his library of trading books to just one, may consider Fontanills' book as a leading candidate for inclusion.
   
   Fontanills has provided in this book a no-nonsense, concise and precise treatment of the terminology used in fundamental analysis, technical analysis and options trading. If you read it in Fontanills' book you know what it is. Examples: Good summary of options terminology (Call Options, Buying Calls, Selling Calls, .. p. 104 - 106), arbitrageur (`players who attempt to profit from price differences between two substantially equal assets', p. 224), oscillator (`a type of indicator that moves above and below a zero line', p.242), risk (`the potential financial loss inherent in an investment', p 346; along with a very good discussion of risk earlier on p 110). Such an approach is perhaps due to the author's humility (`When I first sat down to write this book, the immensity of the project was a bit overwhelming', p.346) despite being an expert teacher and cofounder of Optionetics.
   
   Options are a zero-sum game. There is someone on the other side of each trade, with diametrically opposite interest to yours, waiting to pounce on your trade loss to achieve his profit. Hence, I would recommend that the reader would benefit by absorbing the nuggets of wisdom the author showers on him, such as the following: 1. Let caution be your guide until knowledge and experience coalesce to foster tangible trading intuition. (p347) 2. It is easy for investors ... to overtrade and develop a gambler's mentality. It's also possible to lose a lot of money on one bad trade. (p346).
   
   The author has covered the various option strategies well. If you are interested in a cook-book style presentation of these strategies you may read Anthony J. Saliba's excellent book (Option Spread Strategies). I recommend looking at these selected strategies (Covered Write, or Covered Call or Buy Write, Bull Put Spreads with cash covered puts, Collars, Straddles and Strangles), since the level of broker approval required should be straight forward (for example, a level II approval at Fidelity).
   
   I would be remiss in my responsibility as a reviewer if I failed to mention some areas where the book could be improved to make it even better for the readers. While discussing the option trading strategies, the inclusion of a risk profile along with the price chart is an excellent idea. I wish the author had referred the reader to the usual P&L profile (included on p. 354) or taken a few additional sentences to explain the `swapped axes'. It would be even better if the P&L side of the chart were distinguished with `shading' or the like (this might require enhancement of the Optionetics software, of course).
   
   The author chose to discuss vertical spread strategies first (`...limited risk strategies and that's why I tend to introduce them first', p135). But spread strategies require a higher level of approval for option trading by the broker. For example, Level II approval at Fidelity Investments excludes spreads.
   
   The author states the KISS (keep it simple, stupid) principle but then proceeds to delve into details of a trading scenario over the next 36 pages or so, which is a little too fuzzy compared to the clear and concise presentation in the preceding 200 plus pages. I would recommend that readers skim (or even skip) chapters 11 -13 and move on to the final chapter 14 to enjoy the nuggets of wisdom from the author.
   
   Option Spread Strategies: Trading Up, Down, and Sideways Markets



3. What I like about this book is that it makes a nice complement to other books on options. It makes a detailed comparison between different online brokers, discusses online information sources, options software, and order execution. I saw this book in the bookstore and decided this was worth the price of the book for me. I have no doubt I could have found the same information on the internet, but then my time is worth something as well and it's not an expensive book.
   
   Most of the book is a basic overview of options strategies. I skipped most of it since I have some experience with options already and I have other books that go in more detail. I knew that going in so that was OK with me. I got what I wanted from the book.



4. Not a bad book, but it was written when the web was new. It's not about options as much as it's about where to trade them and how to open an account. If you're looking for an old how-to on getting an account setup and some basics of options, good book. If you're looking to compare BSM, Monte Carlo and Binomial methods, take a pass.



5. FRom your description this sounded like a very good book since I am interested in trading options. Lo and behold I find out this book was published in 1999 and in 8 years lots of new things have been developed. You should have mentioned in your promo that this book was written 8 yrs. ago. I got ripped off. Just be honest with your descriptons. Les Lerner

5 comments about Trading Chaos: Maximize Profits with Proven Technical Techniques (A Marketplace Book).

1. I've been trading for more than 5 years since my graduation from college. This book offers lots of questions for philosophical speculation. Indeed, it raises many doubts about our assumptions upon this reality we reside in physically, mentally, or spiritually. Nevertheless, I will not position this book as a guidebook or a know-how methodology for beginners. This book was written or structured with a strong philosophical implications. Some chapters are nothing more than anecdotes of successful traders which I personally don't find appealingly entertaining or useful to my personal account.



2. Williams has been educating traders for many years, and is an effective teacher. His approach of "want what the market wants" and "follow the path of least resistance", are simple but essential lessons. You will learn about these lessons and more in this terrific book, and if you are open minded enough you will be able to benefit from his deeper understanding of how markets and traders behave.
   
   Some of Williams' ideas are "out of the box" for traditional practitioners: he recommends meditation tapes to his students, tapping into a holistic method, and thinking in terms of a more global and universal energy that affects the markets and each trader's mind via their thoughts.
   
   If you like Williams' approach, you may also find Bennett McDowell's system useful. He was a student of Williams' way back when, and has since gone on to become one of the newer educators in the field. McDowell's book, "The ART of Trading" The ART of Trading: Combining the Science of Technical Analysis with the Art of Reality-Based Trading (Wiley Trading) has the same energy that Williams work does, plus it offers money management techniques that complete the success picture.
   
   Williams doesn't lecture at the trade shows anymore, but his teachings can be effectively mastered by reading his books and visiting his website. Recommended reading.



3. When I first started reading this book I thought it was going to be great. He really sounds good talking about Zen and Chaos theory and non-linear vs linear - and I think he is right that the markets behave under these concepts. However, he doesn't really tell us how to apply any of this to trading. Read this book and then look at a chart. Can you trade better now knowing that you should be using a non-linear, chaos approach? No! Why? Because he doesn't tell us how to apply that theory to trading. He tells us to be one with the market and flow with it etc. That's fine and dandy - but how do we do that?
   
   He tells us that ta and mechanical systems don't work, then he reveals the system he uses to trade by - a mechanical system!!! I was shocked to see that his system is just another dime a dozen 3 ma system. How is his system using non-linear chaos theory? How is his system flowing with the market and making you more "in tune" with the market? It's just another mechanical ta system!!!(kind of sad really)
   
   This book started with great promise but ended up being a total disappointment.



4. This is the finest trading-related book ever published; if you are just starting to learn about trading and investing, please pick up a copy of Trading Chaos before you spend another dime on newsletters, software or 'hot tips.'
   
   It's not about trading a system, it's about trading your mind .......



5. Bill and Justine are made me aware of what is driving the markets. Before I met them I was caught in a circle of winning and losing money in trading. The first edition opened my eyes, new trading dimensions got me out of the dream. The home study course showed me that It is possible to trade consistently, The personal workshop with Bill taught me more than enough of the inside of the markets to grasp the why and how. Eventually workshops by Justine in the middle of Chicago made me implement it all.
   
   This new edition of Trading Chaos is refreshing. It's not about "the magic system", it's not about how to design the perfect system. No it's about real life and how the markets fit in. The perfection in the chaos, the perfect repetition of the small in to the bigger picture.
   
   Don't buy this book if you want to know which market to trade and make money. Don't buy this book if you are looking for the magical tip.
   Do buy the book if you want to learn what the market is driving and how you can profit.
   
   Do buy this book if you are clueless (like I was) about your trading mistakes.
   If you are serious go for the book, think of the implications and contact Bill and Justine to do a follow up. I did it 10 years ago and never had a moment of regret.

5 comments about Sell Short: A Simpler, Safer Way to Profit When Stocks Go Down.

1. I like the book -- I wrote it - and I just noticed a review that found a glaring editorial mistake in the book. The reviewer found the book contained in an incorrect definition of a put, calling into question my credibility -- a good point. My defense is simple -- it was not there in the final galley proofs, actually it was, along with an estimated 1000 mistakes (no kidding) and I made a correction that did not make it into the printed version of the book. John Wiley is the largest and most successful financial publisher in the world and I can only assume the issues with the book are the exception that prove the rule of Wiley's excellence. In my defense, I have bee training options for 25 years,my newsletter service ChangeWave Shorts has been successful and has a loyal following and I can be found at [...] for those of you who want to see if I know what I am talking about before you buy. My thanks to the gentleman who discovered the mistake and if anyone has questions, contact me at mshulman@investoremedia.com.



2. This book is NOT about shorting stocks. The author specifically says multiple times in the book that he does not recommend ever shorting stocks. He does describe how you can play the short side of the market through option puts, but does not advocate or describe how best to short a stock other than to say, "...don't do it."
   
   I was sorely disappointed because I already know about options extensively. I trade puts long and short all the time. The problem with puts are that the spreads sometimes are too large, liquidity is too low, or they aren't even offered on many stocks that I want to trade on the short side.
   
   If you want to trade from the short side of the market using puts and are very new to the world of options then perhaps this book will be of use. If you want to learn about shorting - save your money.



3. Sell Short recommends a strategy using Puts to profit from Falling Stocks.
   In Chapter 3, Mr. Shulman asks "What Exactly Is a Put?" and then goes on in the paragraph that follows with an utterly wrong definition and/or description which would leave an investor/trader totally mis-informed of the definition of a Put. This one paragraph (which deals with the most critical concept for Sell Short - buying a Put option) shows the carelessness in writing and publishing the book 'Sell Short'. Given this carelessness, how can any reader have confidence in other aspects covered in the book by Mr. Shulman?
   
   By the way, John Wiley and Sons has published other books (example: Trade Options Online by George A. Fontanills) which cover their subject well and with care. I have also read several other books on options and each one of them is written with care for accuracy and clarity of concepts explained. I was disappointed with the glaring error in Mr. Shulman's 'Sell Short'.



4. The author correctly stated: "this is not a trading system". For disclosure my comments are based on about a 45 minute study of a friend's copy. This is a nice read especially for a beginner to get a further overall perspective of things, it is not a roadmap to quickly put money in your pocket which makes me question the validity of another reviewer here. As those in the know(many of whom have been there and tried that) will confirm selling short/playing the short side should not even be a part of the game plan in the management of a 6 or 7 figure 401k(playing with ETF(s) as you can't short) or that 6 figure trading account at a Scottrade. The one specific I take issue with is the suggested use of ETF(s) for playing the short game/side. They are far too inefficient vehicles, just look at the charts of the likes of a FAS, FAZ, or SRS and then try to explain to me how they in anyway accomplished in their own right their intended purpose over the last 12 or 18 months.



5. I just happened to purchase Sell Short in San Francisco prior to attending the 2009 Money Show in Las Vegas. Generally well written, I finished the book over the weekend before meeting the author. On the plus side, the author emphasizes collecting your own anecdotal evidence before making a trade. This leads to an emphasis on fundamental over technical analysis. Over the past 30 years, I have made significant success using this approach. On the negative side, the stories that the author uses as examples, while good ones, tend to be repeated throughout the book. I would definitely purchase any new books published by this author. My recommendation would be that he be a little sharper in the use of techical analysis as a second step in his process. Additional recommendation: Go to hear this author speak at one of the money shows. Unlike so many salesmen at those things, he knows his business and articulates it well.

2 comments about Modelling Single-name and Multi-name Credit Derivatives (The Wiley Finance Series).

1. The book strikes a perfect balance between theory and practice, and is the most comprehensive guide of the field written so far. Highly recommend to anyone who wants to get understanding of the credit products for trading or modeling.



2. This is the most complete and mathmatically rigorous treatment of any of the dozens of books out there on credit derivatives. The math is graduate level, but doesn't inhibit a determined read for the underlying concepts. Only quibble is that the author sometimes gets lost in the academic treatment of various correlation models and loses a reader more focused on practical market applications. Overall, this should be required reading for anyone interested in credit derivatives.