Alexander Elder: There are three stages of trade

Alexander Elder is a native Russian who emigrated to the United States, at the tender age of 23. He worked as a psychiatrist in New York, Columbia University professor and expert trader of shares. Dr. Elder is the author of several books on trading of shares. A little known fact is that he began his career as a trader of shares through the purchase of one share: KinderCare.

Alexander Elder is a mystery in the world of stock traders. He not only understands the details of transactions, but also the thinking of the traders before, during and after a business deal.

According to Alexander Elder has three stages through which passes the trade:

1. The trader who is technically well prepared, but devoid of understanding of the human component.

2. The trader who realizes that despite his technical knowledge is no guarantee of success. As such, he will try to recreate the thinking and decisions during the successful stock transactions and avoid the mistakes made in the first steps in the trade. Dr. Elder called this awakening of the psychological understanding of stock trading.

3. This merchant understands that successful trading of shares requires control and money management.

Alexander Elder emphasized that during trading you need a large amount of discipline. Dr. Elder of their workshops freely admits that most of the participants will probably fail. OOver time, he studied the ups and downs of the market, studying the intricacies of trading shares, and finally concentrate on their trade, as well as options.

E.Dimitrov JrTrader