I know last month's article was a little depressing but it was important and here's why: We take daily actions in pursuit of a better life, to move away from pain and towards happiness, while the underlying emotions
of fear and greed drive us.
Bruins, 1989, About the saliency
of fear and greed in social dilemma European Journal of Social Psy - chology: 155 ~ 161
Facts are subservient to belief systems and the way information is processed mainly because of emotions
of fear and 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.
Forex trading is a test of self - discipline and controlling one's impulses
of fear and greed, the degree to which you correctly implement position sizing and risk management will be the degree to which you correctly manage your emotions and achieve your goals in the market.
For investors, the button is a clear reminder that we are our own worst enemies, continually allowing the mirror emotions
of fear and greed to over-rule our intellect.
Once you realize this, it will give you confidence in pursuing a long - term plan for investing and will make you less prone to the destructive forces
of fear and greed.
To do this, I had to undergo a big mental adjustment and become very disciplined not dissimilar to dealing with issues
of fear and greed.
The stock market tends to overshoot on the side
of both fear and greed, and is rarely priced to accurately reflect current conditions.
The advice of friends, stockbrokers, market advisors, and the like are all likely to have a magnifying effect on the natural elements
of fear and greed that are present in every investor.
Now, beyond that, Lowenstein delivers the attitudes of LTCM and Wall Street, with
all of the fear and greed.
The VIX is a widely watched measure
of fear and greed in the stock market.The VIX was down by 7 % yesterday to 13.7 — Lowest in 5 years.
Emotions
of fear and greed dominate over clear thinking.
Doing half breaks the psychological stranglehold
of fear and greed, because regardless of what happens, part of your decision was a success.
Taking dozens of trades in a flurry will only cloud your analysis and fuel your feelings
of fear and greed.
The real test is sticking to your rules during the periods
of fear and greed that occur routinely in financial markets.
This shows how the cycle
of fear and greed can play tricks on investors over time.
We don't know whether officials who lather slavish praise on Xi actually believe anything of what they say or are acting out purely out
of fear and greed.
There is a lot
of fear and greed, but that aside there is a redefining the concept of value in the virtual world with new mechanisms for value exchange.»
Roland Chalupka, Fiduciary Trust Canada's chief investment officer, thinks these factors magnify the classic cycle
of fear and greed.
Not exact matches
«Through unprecedented access to the players involved, he re-creates all the drama
and turmoil
of these turbulent days, revealing never - before - disclosed details
and recounting how, motivated as often by ego
and greed as by
fear and self - preservation, the most powerful men
and women in finance
and politics decided the fate
of the world's economy.»
At some point, any hopes
of greed and crossing the bonds for some decent coin get replaced by
fear.
«The I.P.O. market is a cycle, it's bought on hope, held in
greed and sold in
fear — we're in the first stage,» said John E. Fitzgibbon Jr., founder
of the research firm I.P.O. Scoop.
It is important to recognize some
of the common pitfalls
of trading
and the emotions — euphoria,
fear, excitement, anger,
greed — that underlie them.
«Privacy is not for sale,
and human rights should not be compromised out
of fear or
greed.»
«Despite the comfortable academic consensus
of market efficiency, financial markets will never be efficient because markets are,
and will always be, driven by human emotions:
greed and fear» Seth Klarman
Fear and greed are probably the worst emotions to have in connection with the purchase
and sale
of stocks.»
And greed is simply another derivative
of fear.
We might have been by now, had we better understood the finer points
of «
fear»
and «
greed» during our investing lives.
Along with
fear,
greed,
and regret, hope is one
of the four most dangerous emotions that can destroy your ability to reap consistent trading profits.
You can be a successful investor by being disciplined in following a set
of investment strategies
and rules that guide you through bull
and bear markets, times
of greed and times
of fear,
and periods
of high risk
and periods
of great opportunity.
The venture business runs between the goalposts
of greed and fear.
Instead, the
fear and greed psychology that dominates individual investors cause many to move in
and out
of markets, often at the wrong times.
There is nothing that can stand in the way
of a combination
of GREED and FEAR.
The CNN
Fear & Greed Index monitors seven market factors, including stock price momentum, stock price strength, stock price breadth, put and call options, junk bond demand, market volatility and safe haven demand, by calculating how far they have veered from their averages relative to how far they normally veer, on a scale of 0 to 100, with 0 indicating fear and 100 gr
Fear &
Greed Index monitors seven market factors, including stock price momentum, stock price strength, stock price breadth, put
and call options, junk bond demand, market volatility
and safe haven demand, by calculating how far they have veered from their averages relative to how far they normally veer, on a scale
of 0 to 100, with 0 indicating
fear and 100 gr
fear and 100
greed.
There is a constant tug
of war going on inside our brains between
fear and greed depending on the market environment.
Gold prices were said to have become a barometer
of political
and economic
fears, but in the end it was just pure
GREED that drove the price until it finally peaked in January 1980 at $ 875 an ounce, almost on the very day that Americans were finally allowed to buy
and own Gold bullion; the day that the big surge
of American buying was to drive Gold to $ 5,000.
Visualized, these stock markets may take the shape
of a turbulent ocean with waves made
of human hopes, dreams,
greed and fear.
When you follow an objective trading plan, you will find that your mind is free
of fear,
greed, hope
and regret (four primary emotions that drive the stock market),
and will be more likely to make sound trading decisions.
It helps me keep my reins tight on
greed and fear (to which it is so easy to fall prey to) so that i can take good care
of my money.
Buffett opined that
greed,
fear, envy,
and mindless imitation
of others are among the factors that mitigate the transfer
of the mind's horsepower to the wheels that propel us along the road toward business
and investment success.
«I believe that uncontrolled basic emotions are the true
and deadly enemy
of the speculator; that hope,
fear,
and greed are always present, sitting on the edge
of the psyche, waiting on the sidelines, waiting to jump into the action, plow into the game.»
We believe it was investor
greed that propelled growth stocks to such extreme heights back then; today,
fear seems to be sustaining the momentum as investors pay up for the perception
of safety
and stability in an uncertain environment.
«
Fear and greed, most notable among counterproductive emotions where money is the object
of human desire, can
and often do compromise the capacity for rational
and orderly thought» Frank Martin
For example, the clergy has made centuries long attempts at avoiding, hiding
and subsidizing pedos, either out
of greed,
fear or complicity.
His sin was pretty clearly
fear of man, while Judas» seemed to be possessed
and led by
greed.
The Bible has a lot to say about the love
of money (
greed)... Worrying about who it's going to offend is a
fear of man
and the Bible says that «a
fear of man is a snare.
Well, ignoring your childish ad hominem, why would you kowtow before a shallow, vain
and unjust god if it were not out
of fear of punishment or
greed for the afterlife?
The old certitudes seem less certain; the old privileges are under powerful challenge; the old dominations are increasingly ineffective
and fragile; the established governmental, educational, judicial
and medical institutions seem less
and less able to deliver what we need
and have come to expect; the old social fabrics are fraying under the assault
of selfishness,
fear, anger
and greed.
David Hume also argued for the positive social value
of commerce based on the profit motive, although he
feared unadulterated
greed and thought that in commerce it was mixed with other motives.