Come Into My Trading Room: A Complete Guide to Trading by Alexander Elder
This briefing document reviews the key themes and important takeaways from the provided Amazon product description for Dr. Alexander Elder’s book, “Come Into My Trading Room: A Complete Guide to Trading.”
Main Themes:
- Comprehensive Trading Education: The book aims to provide a complete education on trading, covering essential elements from the ground up. It caters to both novice and experienced traders, promising to enhance the knowledge base of anyone interested in trading stocks, futures, options, or currencies.
- The Three M’s of Trading: Expanding on his previous work, Dr. Elder delves deeper into the core principles of “Mind, Method, and Money.” This involves understanding the psychology of trading, employing effective technical analysis tools and strategies, and implementing robust risk and money management techniques.
- Practical and Actionable Advice: The book goes beyond theory, offering clear, step-by-step instructions and actionable advice. This includes a “SafeZone” method for placing stops, insights into swing trading and day trading, and a new “Impulse” trading system.
- Time and Effort Management for Traders: Uniquely, the book focuses on the often-overlooked aspect of time management in trading. This involves establishing an organized approach to market selection, decision-making, and record-keeping to maximize efficiency and learning.
- Real-World Trading Examples: Dr. Elder provides a rare glimpse into his personal trading room, sharing actual trades and illustrating entries and exits with charts. This hands-on approach allows readers to learn from real-world scenarios and see how the concepts discussed in the book are applied in practice.
Important Ideas and Facts:
- The book aims to equip traders with the skills and knowledge needed to “enter the market with confidence and exit with profits.”
- It emphasizes the importance of discipline and psychological strength as key ingredients for successful trading.
- Dr. Elder provides a new money management strategy, advising readers to structure their accounts “like a submarine, divided into many compartments.”
- The book stresses the significance of maintaining detailed trading records, including those focused on past performance and future planning.
- It encourages readers to utilize the companion “Study Guide for Come Into My Trading Room” to solidify their understanding and test their knowledge.
Quotes:
- “How long will it take you to become a competent trader and how much will it cost? What markets should you trade and how much can you expect to make?”
- “Moving beyond technical analysis, Dr. Elder teaches you the rules of money management that are essential for your survival and success. He shows how to structure your account like a submarine, divided into many compartments, so that it won’t sink if one section becomes flooded.”
- “The next section of this comprehensive trading guide—The Organized Trader—takes you where no trading book has ever gone before. It teaches you how to organize your time and effort.”
- “Come Into My Trading Room will help you master a new way of trading stocks, futures, options, and currencies. Unparalleled depth and a wide range of coverage give you the best chance to become the trader you’ve always wanted to be.”
Overall:
“Come Into My Trading Room” presents itself as a comprehensive and practical guide for aspiring and experienced traders. By focusing not only on technical analysis but also on the psychological aspects and practical considerations of trading, Dr. Elder seeks to provide a holistic approach to becoming a successful and well-rounded trader.
Come Into My Trading Room: FAQ
What is the main focus of “Come Into My Trading Room”?
While Dr. Elder’s previous bestseller, “Trading for a Living,” concentrated heavily on technical analysis, “Come Into My Trading Room” expands on the overall management of a trader’s resources. This includes not only technical strategies, but also managing money, time, and overall trading psychology.
What are the “Three M’s” of trading, and how are they addressed in the book?
The “Three M’s” of trading, according to Dr. Elder, are Mind, Method, and Money.
- Mind: The book emphasizes the importance of discipline and psychological control for successful trading.
- Method: Dr. Elder shares his favored analytical tools, including his Impulse system and SafeZone stop placement method.
- Money: Crucial money management rules are presented, advocating for structuring your account to withstand losses.
Is this book suitable for beginners?
While “Come Into My Trading Room” includes a primer section for newcomers, the book dives deep into complex topics like technical analysis and trading psychology. It may be more challenging for absolute beginners. Dr. Elder even suggests working through the companion “Study Guide” before risking real capital.
What types of trading are covered in the book?
“Come Into My Trading Room” covers a range of trading styles, including:
- Day Trading: Strategies for profiting from short-term market movements.
- Swing Trading: Methods for holding positions for several days or weeks.
- System Testing: Techniques for evaluating the effectiveness of trading strategies.
What is unique about Dr. Elder’s approach to trading?
Dr. Elder combines his background as a psychiatrist with his expertise in technical analysis. This allows him to offer unique insights into the psychological aspects of trading and how to overcome common mental barriers to success.
Does the book cover specific markets or asset classes?
Yes, “Come Into My Trading Room” discusses trading strategies applicable to a variety of markets, including:
- Stocks
- Futures
- Options
- Currencies
What is the “Organized Trader” section about?
This unique section focuses on an often overlooked aspect of trading: time and effort management. It teaches readers how to:
- Select appropriate markets
- Design a decision-making process
- Keep detailed records to learn from experience
What is the significance of Dr. Elder sharing his own trades in the book?
In a unique approach, Dr. Elder invites readers into his “trading room,” providing real-life examples of his trades. This allows readers to see his principles in action and understand how he applies the concepts taught throughout the book.
Please check our products: https: