Trading for a Living by Alexander Elder
The community of traders is quite often stirred by passionate debates over the backbone of trading. They cannot decide whether it is technical analysis, fundamental analysis or psychology. Most speculators are positive that successful trading totally relies on analysis, while other aspects do not matter at all. On the flip side, there are some who believe the keystone of profitable trading is psychology and push the trading analysis and strategies to the sidelines.
All the supporters of the latter point of view as well as traders longing for more on the psychological aspect of trading should know there is a gem of a book that has already gained recognition of traders in the CIS countries. Trading for a Living by Alexander Elder is a milestone in the evolution of almost every trader seeking to understand the ins and outs of the financial operations.
With 30 years of experience as a professional psychologist and psychiatrist, Alexander Elder bestowed on the forex world such a remarkable opus reconciling trading techniques with a personal attitude to trades. Trading for a Living written by Alexander Elder is one of the first books that regard psychology as a system usable on the financial markets along with technical and fundamental analyses, rather than just a set of basic principles. These ideas were later developed by Van K. Tharp in his book Super Trader. Trading for a Living can be broken down into two parts. The first two chapters focus on individual and mass psychology, while the rest of the book presents trading methods through the prism of psychological factors influencing a decision to enter or exit a position.
Apart from the types of analysis, the book Trading for a Living also describes the author’s concepts of trading on stock and futures markets such as the Bull Power and Bear Power as well as Elder-ray. It also provides insight into Triple Screen Trading System with peaking popularity in the 2000s. The system offers to use several timeframes to track price fluctuations.
In addition to a mine of useful theoretical material, the book Trading for a Living also has a vast section of tasks. It contains questions related to the topics covered in the book and offers some questions for checking your new knowledge and skills. By the way, the section of answers to these questions ends the book.
Lauded by Alexander Yermachenko, a prominent Russian trader at the turn of the 20th and the 21st centuries, this book is in high demand all over the world.