Why Day Trading Will Make You Less Money (And Bring You More Stress)

 Most people think that in trading, the more trades you make, the money more you will end up making. But is this really true? Traders who adopt this philosophy will constantly be chasing the next big shiny object, reading every piece…

The Cheetah and the Trader – How to Go for the Kill

The cheetah, while the fastest animal on the African plain can outrun any of the prey it feasts upon, always chooses to go for the young, weak, or sick. Once identified, he attacks with laser-guided focus and effectiveness. It is only then that…

Maslow’s Hierarchy: Trading Self-Actualization

Some of you might have heard the term before, but are not really sure what it means. So what exactly does self-actualisation mean? The term originally came from Maslow's hierarchy of needs, which represents the things people strive for…

Trading Self-Reflection: The Art of Losing

Although I ended with a small loss at the end of the day, I felt that this day was a victory. Before you think that I am crazy, let me explain. Because of the probabilistic nature of trading, it is necessary to have losing trades. Depending…

Regret Aversion Bias – Would You Rather Be Right, or Avoid Being Wrong?

People exhibiting regret aversion avoid taking decisive actions because they fear that, in hindsight, whatever course they select will prove less than optimal. Basically, this bias seeks to forestall the pain of regret associated with poor decision-making.…

Hindsight Bias – When People Say “I Knew It All Along!”

Described in simple terms, hindsight bias is the impulse that insists: "I knew it all along!" Once an event has elapsed, people afflicted with hindsight bias tend to perceive that the event was predictable - even if it wasn't. This behaviour…