The Prop Trader's Chronicles: Short-Term Proprietary Trading Strategies for Both Bull and Bear Markets
"Little did I know that not a single educational product available at the time had prepared me for the world I was about to enter."—Francis James Chan fromThe Prop Trader's ChroniclesToday's technology allows traders to make faster, more price-sensitive trades and to better read the flow of market information and transactions—opening the way to a wider variety of short-term trading strategies. Unfortunately, other than actual on-the-job training at a prop trading house, or, for the most intrepid independents, years of costly trial-and-error, there is no reliable source of practical, real-world information on how to capitalize on the rich veins of opportunity opened up by the latest direct access and trading technologies.. . . Until now, that is.Both a compelling memoir and a highly instructive how-to,The Prop Trader's Chroniclestakes you inside a typical proprietary trading house to paint a vivid picture of the white-knuckle, day-to-day of the prop trader's world. At the same time, it reveals the strategies and techniques used at the most successful firms while showing you how to adapt them to your trading style and long- and short-term goals.In an engaging narrative featuring a colorful cast of characters, Francis James Chan recounts his evolution from a naive, young retail investor, schooled in the ways of value investing and Modern Portfolio Theory, to a highly respected prop day trader and the innovator behind several trading systems now used at some of the world's top proprietary trading firms. Interweaving memorable scenes from his career, beginning in 2006, at Toronto-based Swift Securities Trading, with plain-English explanations of key terms, concepts and trading strategies, he describes how the most successful traders use direct access technologies, Level II quotes, time & sales feeds, and electronic communication networks (ECNs) to reap massive profits—one penny (or fraction of a penny) at a time.Offering priceless strategic insights, accessible explanations and a rare glimpse inside the world of proprietary trading,The Prop Trader's Chroniclesis must-reading, whether you're an independent trader or investor who'd like to learn more about today's electronic trading systems or an aspiring professional trader looking to acquire a firm foundation in the basics of modern prop trading.