It is also worthy of remembering that markets generally fall much faster than they rise because fear is a stronger
emotion than greed.
Not exact matches
Experienced investors know better
than to buy based on
emotion — whether that
emotion is fear or
greed.
This is how you place your stops according to the market structure and logic, rather
than from
emotions like
greed or fear.
This is how you place your stops according to the market structure and logic, rather
than from
emotions like
greed or fear.
Traders who just jump in and out of the market on
emotion and
greed, will not only suffer many more losing trades, but they will also rack up a lot more fees via spreads and (or) commissions over the course of a year
than traders who stick to the higher time frames and understand the value of self discipline and having patience.
But tackling fear &
greed is easier said
than done... how on earth do you conquer such powerful deep - seated
emotions, esp.
Experienced investors know better
than to buy based on
emotion — whether that
emotion is fear or
greed.
Kahneman suggests that «expert» traders generally do not do better
than «the market» and that stock trading algorithms work better
than decisionmaking by investors influenced by their
emotions of fear and
greed in random succession.