Loss aversion bias was developed by Daniel Kahneman and Amos Tversky in 1979 as part of the original prospect theory. Basically, it suggests that psychologically, the possibility of a loss is on average twice as powerful a motivator as the possibility…
https://synapsetrading.com/wp-content/uploads/2012/04/trading-loss.jpg396597Spencer Lihttps://synapsetrading.com/wp-content/uploads/2019/10/logo.jpgSpencer Li2012-04-24 05:00:382022-07-24 21:05:26Loss Aversion Bias – Why a Loss Has Twice the Psychological Impact
Today, we were invited to give an exclusive seminar to the members of STATS (Singapore Technical Analysts & Traders Society), where we shared our prototype of the Trader Blueprint. With a focus on price action and psychology, we shared how…
Confirmation bias refers to a type of selective perception that emphasizes ideas that confirm our beliefs, while devaluing whatever contradicts our beliefs. This can be thought of as a form of selection bias in collecting evidence to support…
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People who exhibit endowment bias value an asset more when they own it, as compared to when they don't. This is inconsistent with standard economic theory, which asserts that a person's willingness to pay for a good should always equal the person's…
https://synapsetrading.com/wp-content/uploads/2019/10/logo.jpg00Spencer Lihttps://synapsetrading.com/wp-content/uploads/2019/10/logo.jpgSpencer Li2012-03-20 01:20:072022-07-24 21:08:04Endowment Bias – Do You Really “Own” a Trading Position?
Long-term refinancing operations (LTROs) involve the central bank lending money at a very low interest rates to eurozone banks, which has led to the term “free money.”
The injection of this cheap money means that banks can use it to buy…
Most people have heard of "rose-tinted glasses" and know that those who wear them tend to view the world with undue optimism. Studies have shown that with respect to most positive traits, for example driving ability, good looks, sense of humour,…
https://synapsetrading.com/wp-content/uploads/2019/10/logo.jpg00Spencer Lihttps://synapsetrading.com/wp-content/uploads/2019/10/logo.jpgSpencer Li2012-02-20 01:53:342022-07-24 21:07:01Optimism Bias – Why Most People Think They Can Beat the Market
https://synapsetrading.com/wp-content/uploads/2019/10/logo.jpg00Spencer Lihttps://synapsetrading.com/wp-content/uploads/2019/10/logo.jpgSpencer Li2012-02-14 06:02:032022-03-09 10:55:59Exclusive Invitations – The Future of Derivatives Party 2012
This event is the official launch of the CIMB Securities Youth Challenge 2012, a grand culmination of the past few weeks of talks and workshops, which saw many renowned guest speakers sharing their experiences with over 1,700 participants of…
https://synapsetrading.com/wp-content/uploads/2019/10/logo.jpg00Spencer Lihttps://synapsetrading.com/wp-content/uploads/2019/10/logo.jpgSpencer Li2012-02-05 22:09:162022-03-09 10:56:35Guest Speaker at Official Launch of CIMB Securities Youth Challenge 2012
