Trading for a Living – Psychology of Trading by Dr. Alexander Elder

Trading for a living, the work of a
businessman and psychologist Alexander Elder, has received much
praise from professional traders and has
appeared on the popular list for many years in Amazon. So why is this work of
trading so praised?

Main points of Trading for a living

From Trading for a living, you will learn a lot about
trading psychology and market behavior, some knowledge about
money management and technical indicators. Some key points of the
work:

Psychology is the key to understanding how markets work
and explaining the behavior of crowds and markets of cows and
bears.

Trading is never easy:

The market is not your mother. They are tough men
and women who seek to take money from
you, not give you milk.

Immerse yourself in trading as well as being addicted to alcohol and therefore can
be treated with the same methods.

Successful trading is based on three pillars: discipline,
money management and the ability to find a balance between the bull and
bear markets .

Alexander Elder provides detailed descriptions and explanations of
many technical indicators, such as: moving averages,
MACD, directional systems, etc.

Trading volume – Volume is a very important indicator

The author also introduces two indicators developed by
himself – Elder Ray and Force Index.

Triple Screen (using three time frames) is recommended
as a general trading method.

The losers often “get married” with losing positions
, they don’t want to stop the loss and always hope for a
reversal.

Good money management can save a system of losses
(a system with negative expectations), and vice versa, without the
management skills that can damage a
great trading system .

Why should you read Trading for a living?

The content of psychology is extremely perfect. Elder is a
good psychiatrist so there is no doubt about
the author’s ability to grasp and interpret psychology when dealing with financial matters.

The author tells the truth about failure and success.

If you wonder how
basic technical analysis indicators work, this
book will give you excellent explanations.

Trading for a living will also guide you to a number
of complete trading systems that can be adapted to meet
the needs of traders in (almost) any
market, of course. Crypto schools
are no exception.

The book is easy to understand, suitable even for those who do not have much
trading experience.

Notes

If you are thinking of reading Trading for a living, in addition to the
knowledge mentioned, always remind yourself of
the time gap. The book was published in 1993 but the
author took two and a half years to write it. So Trading for a
living is about 20 years old.

This discrepancy can lead to some facts and knowledge that
have become obsolete, such as the author using two pages of
text to persuade readers to use the computer in
technical analysis. So consider what is appropriate
for the cryptocurrency
market.

Did the above convince you to try to read Trading
for a living by author Alexander Elder? Another suggestion
besides this book is that you can also read
The new trading for a living, which is also a
very interesting book for traders. Also, do not hesitate
to share with Pink
Blockchain your feelings after reading Trading for a
living!

Content in the article may include personal opinions of
the author and subject to market conditions. People should
conduct their own market research before investing
in cryptocurrencies. Neither the Pink Blockchain nor the author will be
responsible for your financial losses.