Dr. Alexander Elder: psychiatrist in trading

Alexander Elder, one of the greatest specialists in the field of finance, was born in USSR. He graduated from the medical university and when he was 23 in 1974 he emigrated to the U.S., where he lives to this day. Today, Dr. Elder is professional trader and a recognized expert in stock trading, who wrote numerous articles on the subject. He worked as a psychiatrist and taught at Columbia University. In addition, Alexander is an author of several books about stock trading, which received a lot of good appraisals. From there he made his name as one of the most reputable experts in stock trading. It all started with a KinderCare share which he bought at the beginning of his trader’s path.

As a psychiatrist, Dr. Elder is well versed in the intricacies of the human mind, so it could not but influence his understanding of trading. He sees not only the deal details, but the personal attitude of traders before, during, and after the deal. It is of key importance that he successfully applies his knowledge to explain market behaviour.
According to Alexander Elder, there are three types of traders:
  1. The trader who is technically literate but has no skills on analyzing the motives of behaviour.
  2. The trader who realises that technical knowledge is not a guarantee of success. Elder calls this the awakening of a psychological understanding with respect to stock trades.
  3. The trader who understands that successful trading requires control and money management. Rather than letting statistics move him, it is money management and control that causes him to anticipate future positions.

Bright personality and wide experience enabled professor Elder to write a range of best-selling books that won the world’s hearts and minds. Elder’s books “Trading for a Living” and “Come into My Trading Room – A Complete Guide to Trading” are the classical trading tutorials. In 1993 “Trading for a Living” became an international business bestseller which was translated into 9 languages, including Chinese, Dutch, French, German, Japanese, Korean, Russian, and Polish. Elder’s “Trading for a Living” won Barron’s Best Book award in 2002. Dr. Elder takes an active part in free educational projects, which he initiates himself, and also trains the younger generation through his webinars available on the Internet.

In conclusion, Alexander Elder said:

The 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”.