Alexander Elder

The secrets of successful trading: Alexander Elder

Alexander Elder - a professional speculator and expert on technical analysis. He was born in Leningrad and grew up in Estonia, where he graduated from medical faculty of Tartu University. Then he emigrated to the United States. After internships at clinics in New York, he enrolled in New York psychoanalytic institute. Then he opened a private clinic. At the same time Alexander Elder began working in the stock market, and organized a company «Financial Trading», which became one of the leading U.S. firms for the preparation of traders. With its findings and advice Alexander Elder is divided in the book "How to play and win at the stock exchange.

Look for a broker, who takes the lowest fees, and hold him at gunpoint. Develop a system of play that focuses on relatively infrequent transactions, and open them in periods of exchange lull.

Gambling should be by clearly defined methodology. During the game should analyze their emotions while watching the adoption of reasonable choices.

Adopt your blog speculation, stating the reasons for opening and closing transactions. Especially watch for situations where your tactics are repeated. Did not heed the lessons of the past are doomed to fail him.

Do not change the plan when you have an open position.

To be successful economically handle money. A good stockbroker watches his capital, as an experienced diver for the air pressure in your tank is.

"Do not risk all the money" - the first commandment trader.

Professional allows you to take a risk only a small percentage of capital on each trade. Amateur same approach to the game, like an alcoholic to drink: smack one's lips, and ends up in a ditch.

If you are unsure whether to remain in the transaction, clear profit and look at the situation with fresh eyes, from the side. When you do not risk your money, think more clearly. Exit the transaction and re-enter is not harmful.

Imagine a lawyer who in the midst of the process begins podchityvat his honorarium. This - as stockbroker, who, scenting profit, losing his head with joy. Imagine a surgeon, who at the sight of blood dizzy. It's like a jobber, losing confidence in yourself, when bears the losses.

This professional unruffled - and win, and losers.

Success in the stock market game can be achieved only doing it as a serious matter. Stock Market Game, based on emotions, is doomed to failure.

The main feature of gambling - the urge to place bets. If you see that spekuliruete far too much, take a break in the game for a month. During this time you can look at their actions differently.

Between an alcoholic and a losing traders have a clear resemblance. Stockbroker endlessly changing tactics, like an alcoholic who tries to solve the problem by going to the liquor to wine or beer. The loser does not accept that he had lost control over the course of its stock of life.

First of all, you need to understand their tendency to self-harm. We must be responsible for all consequences of his conduct, including failure, and not complain about bad luck and blame others.

Stockbroker's inspiration from winning, he feels omnipotent. To believe in their infallibility, he acts rashly and lose won. Most traders can not stand the painful heavy losses. Having rolled to the bottom of the abyss, they are doomed to fly with the exchange. Only a few understand that lost not because they played wrong, but because they wrongly thought. Such people can change themselves and go into successful stockbrokers.

Members of the crowd can catch the correct trend, but not her turn. Joining a group, the person behaves like a child following the parents. Successful stockbrokers live with your mind.

In the afterword to the book, Alexander Elder writes that speculators are often afraid to "pull the trigger", that is to begin to buy or sell. This fear - the main problem for the trader. If you have everything you need - the system of the game, the rules of capital controls, the psychological rules prevent loss, it means it's time to play the market, concludes Alexander Elder.