“How to” books can be both entertaining and educational. However, those books can be dangerous for investing. Therefore, I seldom agree to review any “How to” books. However, I’m glad I did agree to review “The Little Book of Currency Trading”, a new book by Kathy Lien.

I suspected it would be full of charts and graphs guaranteed to confuse novice investors. Instead, it was a delightfully simple and practical explanation of international economics, without all the mumble-jumble on which international organization does what.

She also recommends ETFs as the practical way to take long-term positions in currencies, avoiding the futures market. I strongly agree.

If you want to be an active trader in foreign exchange/currencies or FOREX, you need much more than this book. If you want to take a short course in international economics, it is a good read for you.