Investor's
Library 
Review of The Investor’s Edge
By Gary Kaltbaum
For almost 50 years, I’ve been reading books on trading and investing. The books I’ve read range from the simplest of topics to some that are rather complex and esoteric. Subjects covered include a wide array of peripheral topics, such as systems, psychology, risk control, technical and fundamental analysis and so on. After a while, it becomes apparent that much of the material in newly published books is superfluous and repetitious and simply rewords old concepts.
It is only once in a great while that I find a book that strikes me as truly worthwhile and practical. Gary Kaltbaum’s The Investor’s Edge, in my opinion, makes the cut, and will, henceforth, be included in my favorite recommendations to those seeking to become self sufficient in their timing, selection and management of investments and trades.
I must confess that the reason I like this book so well is that it mirrors almost precisely the approach to trading and investing that I have personally found to be the most effective and profitable, after studying and trying almost countless other approaches. Hence, I am biased in favor of this method, which may not be suitable for all investors.
Take note that the method presented deals primarily with selection and timing of trading stocks of individual companies and sectors. While I feel that the principles presented would also work in various commodity or foreign exchange markets, or even any actively traded market, I believe that the number of opportunities presented in these markets would be far fewer than in individual equities, due to the many available for daily analysis and scanning.
Most of my commentary on this book will deal with general observations…I’ll leave discovery of the particulars up to the reader. Suffice it to say, the primary approach deals with breakouts as confirmed by analysis of price and volume action. The reader is shown how to detect breakouts in the early phase, how to capitalize on them and how to know when to get out, a vital component to any trading approach.
Finding stocks to short, with attendant profit potential on the downside, is given equal emphasis with finding stocks to buy. The author provides well organized checklists of points to watch for to decide when a particular situation is suited for application of his method. Many well illustrated charts are included, which clearly show the reader exactly what to look for when implementing the author’s ideas.
This book is written in a straightforward, clear style, which can easily be understood by anyone at any level of knowledge or experience in trading. There is no complicated math or formulas to deal with….just a simple, effective method that I personally feel is of great value.
If you were to tell me that you wanted to learn to trade stocks profitably, and you wanted to confine your education to a single book (which I definitely would not recommend), this would be the one I would point you to. This book is inexpensive, easy to understand and teaches valuable knowledge that every trader or investor should know. Don’t be fooled by the bland title…it is the only complaint I have about the book. This book receives my highest recommendation for investors and traders of all levels.
Review by
Edward Dobson, President
Traders Press, Inc.
Greenville SC
