Market analysis is not easy. Few cardinal sins in markets revolve around having a pre-conceived notion, acting on it in advance, and then doubling down even when wrong. The biggest problem is that no one really knows when they are right or wrong especially a person who is obsessed with markets. This is because such a person might consider different exit approaches based on different analysis techniques to justify whether to stay in a trade or to exit. This would lead to a late exit, just in time for the market to switch the direction. This switch might push that same person to again assume that his/her original bias was right and then stay with the trade for a long time.
Consistency in Investing
Consistency in Investing
Consistency in Investing
Market analysis is not easy. Few cardinal sins in markets revolve around having a pre-conceived notion, acting on it in advance, and then doubling down even when wrong. The biggest problem is that no one really knows when they are right or wrong especially a person who is obsessed with markets. This is because such a person might consider different exit approaches based on different analysis techniques to justify whether to stay in a trade or to exit. This would lead to a late exit, just in time for the market to switch the direction. This switch might push that same person to again assume that his/her original bias was right and then stay with the trade for a long time.