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We're coming off a multigenerational bull market. So writings are a tad unrealistically optimistic. For a slight counterexample, or a dose of reality:

Reminiscences of a Stock Operator by Edwin Lefèvre

Where are the Customers Yachts by Fred Schwed

Nothing has really changed psychologically since those books. The same people are doing the same things for the same reasons, just with different numbers and tools. This will provide some background in those areas. Very much like music or sex (edited to add, or programming), young people like to think their generation invented the topic, but not as much has changed as you'd think.

Note that just because its hilarious reading what Livermore did a long time ago, doesn't mean you won't get thrown in jail if you tried it today. So these are like anthropological case studies, not preachy instruction manuals. Make sure you get that.

Aside from that I'd propose the usual critical thinking skills. Whenever you hear or read something: Follow the money. From his perspective, why is he telling me this? Where is this on the lifecycle of ideas from new (perhaps only to you) to conventional wisdom (may already be obsolete) to obsolete, and is this a linear time or circular time situation?

Finally bad people or bad motivations don't necessarily torpedo an idea. Take for example haircuts. Ask your barber how often you should get a haircut, that will be every paycheck please, because he's paid transactionally. Likewise, you ask your financial advisor or broker how often you should dollar cost average, because he's paid transactionally guess what his advice will be. However, corrupt as that may appear on the surface, it might none the less be correct advice, for reasons having nothing to do with your broker's revenue stream!




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