Gaming the Market : Applying Game Theory to Create Winning Trading Strategies (Wiley Finance)

Rating:
Summary: Misleading, Wrong, Oversimplified...
Review: I bought this one on an earlier review, "Don't Buy this book". The book is great for mathematically inclined strategists. It is readable and thought provoking. If you are ready to do your own modeling and develop you own trading system, this book is a must.

Rating:
Summary: Don't waste time and money on this book!
Review: I waste my time to read this book which I borrowed from library. Anyone who trade more than six months will find nothing valuable in the book. I am surprised that John Wiley & Sons, which has a lot good books on trading and finace, would publish this book.

Rating:
Summary: Do not buy this book
Review: I would prefer it if nobody else purchased this book. My only question is how long it will be before the techniques discribed in this book are discounted by the markets. Fortunately, if you have been banging your head on statistics, time series analysis, neural nets, genetic algorithms, etc. with respect to the markets as long as I have, certain embellishments to the logical principles explained in this work will suggest themselves. In this I take some comfort. I also take some comfort in the fact that not many will recognize these ideas for what they truly are. Congratulations and kudos to Ronald B. Shelton on this work. Of the several hundred books I have on the subject of mathematics and technical analysis of time series this fits in the top 2 or 3. Again, do not buy this book.

Rating:
Summary: Something different for the experienced trader
Review: If you're an experienced trader with an aptitude for system development and computer modeling, this book will provide you with a unique perspective on the market.

For those who want cookie-cutter shortcuts to trading success, this book is not for you. This book does not contain "cut and paste" formulas for some whiz-bang indicator nor does it include code for TradeStation or MetaStock that you can just plug in and use. Instead, the author presents a different perspective on understanding and analyzing behavior, and although this approach may not represent orthodox game theory, it is a thought provoking approach, especially for someone (like me) who has probably read over a hundred books on trading and technical analysis.

You should note, however, that after reading and reviewing the concepts presented herein, applying them will take real effort - I'm not aware of any commercially available trading package that can generate and apply the data used in this approach. Also note that the examples presented in this book relate to day trading although I believe the principles are applicable on any type of market.

The major shortcoming of this book is the sparse real-life trading examples - more of those would have been very helpful. Nonetheless, as one veteran trader told me, "Whenever you read a book on trading, if it only gives you one new idea, then it's worth reading."

This book is definitely worth reading for the experienced trader.

Rating:
Summary: This book is complete garbage
Review: The author is obviously in way over his head. This pathetic mockery of game theory is filled with errors. I'll only present the two most egregious ones:1.Incredibly, the author doesn't seem to realize that the probability of a major adversity (as defined in the book) is greater than or equal to the probabilty of a minor adversity. This restricts the applicable section of his model.2.The slope for determining profitable trades (according to the author's model) is given by (w+x)/(y-x). By choosing x arbitrarily close to y the slope can be infinite.Conditions 1 and 2 imply that a profitable trade on any and all stocks can be made under any market conditions with no risk whatsoever.This inept, incompetent book is so bad that it casts doubt upon the entire line of technical books from Wiley and Sons and their editorial process.

Rating:
Summary: An Honest Work
Review: This book contains a research work done by a practitioner. It maily used the theory of probability and the assumption of normal or lognormal distribution of the market prices, though with some game theory interpretations. I have to say that it is an honest and interesting work. Also it is inspiring for further study in that direction. There are also some disappointments: i) the mathematics and the overall material are presented poorly; ii) some of the results need more clarification and explanations, and are not complete at the level as published.
As ironic as it sounds, I was drawn into reading the book after I read the previous negative reviews on this board. I would say that those comments are either irrelevant, or ignorant. Any one interested in developping a feasible trading system could learn something from this book.