The New Trading For A Living: Psychology, Discipline, Trading Tools And Systems, Risk Control, Trade Management 2nd Edition
The best-selling trading book of all time―updated for the new era.
The New Trading for a Living update is a modern classic, popular worldwide among both private and institutional traders. This revised and expanded edition brings time-tested concepts in gear with today’s fast-moving markets, adding new studies and techniques for the modern trader.
This classic guide The New Trading for a Living teaches a calm and disciplined approach to the markets. It emphasizes risk management along with self-management and provides clear rules for both. The New Trading for a Living includes templates for rating stock picks, creating trade plans, and rating your readiness to trade. It provides the knowledge, perspective, and tools for developing your effective trading system.
All charts in this book are new and in full color, with clear comments on rules and techniques. The clarity of this book’s language, its practical illustrations, and generous sharing of the essential skills have made it a model for the industry―often imitated but never duplicated. Both new and experienced traders will appreciate its insights and the calm, systematic approach to modern markets.
The New Trading for a Living will become an even more valuable resource than the author’s previous books:
- Overcome barriers to success and develop stronger discipline;
- Identify asymmetrical market zones, where rewards are higher and risks lower;
- Master money management as you set entries, targets, and stops;
- Use a record-keeping system that will make you in to your teacher.
Successful trading is based on knowledge, focus, and discipline. The New Trading for a Living will lift your trading to a higher level by sharing classic wisdom along with modern market tools.
The New Trading for a Living is one of only two books on the desk in my trading room. As a full-time private trader this book – alongside Dr. Elder’s equally as brilliant The New Sell and Sell Short – are the two most transformative works I’ve encountered on the subject (and I’ve read dozens and dozens of books on financial markets over the first ten years of my career). When friends and family express an interest in the stock market this is the one book I recommend they begin with. It’s equally as insightful for more advanced professionals as well.
Reviews About the book The New Trading For A Living:
- Romanas: it was amazing.
If I was doomed to pick only a single book on trading, I would seriously consider Alexander Elder’s The new trading for a living. My impression is that, so far, this is one of the best books in the genre of general trading that I came across.
Alexander Elder (MD), having his background in psychology, delivers invaluable insights about this incredibly important component of psychology in the trader’s endeavor. One even will find a small test and a template for the readiness to trade. As it is well known, the weakest link in the trading system is the trader itself. If the nerve is not in control, it can be devastating. Elder is an expert in this field and he discusses many important aspects of it throughout the book The New Trading for a Living.
The strategies Elder proposes in his work are working well for him. However, if one expects to be able to simply adapt the strategies presented in the book and start generating money straight away based on them, I would say, it would not be so simple. The author doesn’t provide a very structured step-by-step recipe on what to do in terms of setting up a particular strategy with all required indicators etc. For a beginner without technical analysis background, it might be quite difficult to grasp some concepts without additional studies. But this book is a good starting level. The intent of the book probably wasn’t to give a cookbook (which is per se, in my opinion, is extremely hard, due to the nature of the markets and their plasticity and risk for strategy obsoleting), but rather to describe all important components in the process of trading, risk and money management issues, which are essential no matter what kind of strategy one intends to design and implement. The author provides a good and clear introduction to technical analysis, indicators, signals, instruments, what to trade, etc. He proposes his methods together with some interesting points on trading vehicles and how to avoid being severely injured by the sharks or instantly consumed by a swarm of piranhas.
I liked how the author structures the book The New Trading for a Living, wisely complements his theses with clear examples, good quality charts. The author’s style of writing is especially appealing, he uses a lot of beautifully fitting metaphors making important points live, convincing, and sometimes very funny.
The risk management chapter alone is a pearl of wisdom so credibly conveyed which could save many accounts and grievances of the beginners. The price on Amazon is 39 USD for this book now, which may turn into an investment with the highest return ever for many greenhorns out there who know it all without any preparatory studies. The author stresses the importance of documenting the trading process, keeping structured records and journals, which I agree with, and try to do myself, considering it as a critical part in building the edge and improvement. There are some great tips on that in the book.
For the experienced traders, the content of the book probably would not disclose something very revolutionary. I would rather seem to be a book filled with a lot of common sense, known technicalities, systems, and rules, basically, the things which we practice already with a certain level of discipline. However, even pros get wiped out from time to time, and that is often due to breaking some of the rules outlined in this book The New Trading for a Living.
My overall take on this book The New Trading for a Living is — a compulsory read for beginners and valuable general wisdom of trading for the pros.
- Michele Amitrani: it was amazing.
The New Trading for a Living is a very useful manual that explains the basics of trading. The author’s writing style makes the book The New Trading for a Living clear and clever at the same time. This is a book for people that are interested in how to trade securities in the market. It’s a How-To book but also a manual on psychology and risk management, both very important components in trading. I suggest this book The New Trading for a Living to anyone interested in diving into the subtle art of trading for a living, or to people who are simply interested in knowing more about the subject.
- Alaeddin Hallak: it was amazing.
The key message in this book The New Trading for a Living is: Success on the market is determined by knowledge, focus, and discipline. With a firm understanding of the traps of individual and crowd psychology and confidence in classical chart analysis, you’re well on your way to earning your living as a trader.
About The Author:
Alexander Elder, M.D., is a Russian-American professional trader and a teacher of traders. He is the author of Trading for a Living, and The New Trading for a Living considered a modern classic among traders. First published in 1993, this international best-seller has been translated into more than a dozen languages and is being used to educate traders around the world.
His Come into My Trading Room: A Complete Guide to Trading was named a 2002 Barron’s Book of the Year. His Entries & Exits: Visits to 16 Trading Rooms was named a 2007 SFO Magazine Book of the Year. His latest book is The New Sell & Sell Short: How to Take Profits, Cut Losses, and Benefit from Price Declines (2011). Young traders consider him “the fuel for traders,” said one Innocent James Mangut a successful trader who read his book trading for a living.
Elder was born in Leningrad and grew up in Estonia, where he entered medical school at the age of 16. At 23, while working as a ship’s doctor, he jumped a Soviet ship in Africa and received political asylum in the United States. He worked as a psychiatrist in New York City and taught at Columbia University. His experience as a psychiatrist provided him with unique insight into the psychology of trading.