This is My Stock Trading Journey

Cramer’s Get Rich Carefully Book Review

May 15, 2014 | Comment

I’d like to share with you my thoughts on Cramer’s new book, Get Rich Carefully, but first a little background.
When I started trading I was told many times over not to listen to programs about trading or read books/websites about trading, etc. I was told it would just confuse me and too much information would be way less beneficial than a few bits of good information. While I see the potential benefit of that advice I must admit it froze me in a way. During at least my first year of trading I was afraid to read anything besides what I was given from Neuventure on Wall Street and if I happened to come across a show like “Mad Money” I would peek at it for a second, then after feeling completely guilty and ashamed I would quickly look away or change the channel if the remote was in my control (a little tongue in cheek there :))  Around year two I slowly started to peek my head out and read websites and books about trading.

So that brings us to a few months ago when my dad put Cramer’s new book in my hands. We were at Costco and he said he would buy it for me if I would read it. He also trades stocks but a bit longer term than I do. I think he has grown weary at times trying to convince me it’s okay to take my head out of the NVOWS rock and look around a bit. There’s a whole trading world out there. Well I hesitantly said I would at least attempt to give it a go. So there I was on an 8-hour trip home from Colorado with nothing to do but read my new book and boy am I glad I did.

Cramer nails it in the first few pages when he acknowledges the affect politics have had on the market as of late and vows to spend the rest of the book helping all to navigate this new world of trading. The first part of the book was the most helpful with a great overview of the 6 things that move a stock followed by a crash course in market cycles and how to react in each. He talks about what to listen for in conference calls and which ones will give the best information about the world and U.S. economies.   The middle section of the book consists of several chapters of time sensitive material where Cramer goes over in detail many MANY companies and why he thinks they are a good or bad investment. In fact he spends an entire chapter just going over which companies should split into 2 companies. I just can’t see how that would be useful. Seems like a talk he could have with the CEOs. After getting through that middle section however the book begins to pick up again with all kinds of useful information including charting, checking your emotions at the door and when and how to sell in this tougher trading environment.

I think any book where I can get even a few tidbits of great information that can be applied to my trading and help me make some money is worth the read and this book certainly fits the bill. It’s an easy read and each chapter has a great summary so it’s a piece of cake to skip to the chapters of interest and just read the summaries of the others. Oh, and if you’re a NVOWS trader wondering if Get Rich Carefully will just confuse you let me reassure you that it doesn’t contradict what you’ve learned thus far but does add too it. Some of the principles are more geared toward long-term investing but it’s not hard to decipher which ones.

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