The Influence of Emotions and Illusions on the Stock Market

  • 📰 fpinvesting
  • ⏱ Reading Time:
  • 31 sec. here
  • 7 min. at publisher
  • 📊 Quality Score:
  • News: 33%
  • Publisher: 63%

Finance 뉴스

Stock Market,Emotions,Illusions

Traders can likely make more money focusing on emotions and illusions rather than on numbers. The madness of crowds can drive stock prices farther and faster (up or down) much more dramatically than earnings can. Let’s look at five possible reasons.

It’s true that fundamentals drive the market in the long term. In the short term, though, pretty much anything can happen.Traders can likely make more money focusing on emotions and illusions rather than on numbers. The madness of crowds can drive stock prices farther and faster (up or down) much more dramatically than earnings can. This can be a gold mine for those focusing on volatility. Psychology courses, in this case, are more important than business classes.

Every time I start believing the efficient market hypothesis, something crazy happens to throw all efficiency out the window. A company will report earnings and its stock will soar (or decline) 40 per cent in a day. If the market was so efficient, how does that even happen? Let’s look at five possible reasons. Some you will have heard of, some, maybe not, but all can be big influences on the market and your investment portfolio.Most investors know about greed, and have probably experienced it themselves. Have you ever let a winning stock run too much, only to hold it into a precipitous decline? We all hav

이 소식을 빠르게 읽을 수 있도록 요약했습니다. 뉴스에 관심이 있으시면 여기에서 전문을 읽으실 수 있습니다. 더 많은 것을 읽으십시오:

 /  🏆 43. in KR
 

귀하의 의견에 감사드립니다. 귀하의 의견은 검토 후 게시됩니다.

대한민국 최근 뉴스, 대한민국 헤드 라인

Similar News:다른 뉴스 소스에서 수집한 이와 유사한 뉴스 기사를 읽을 수도 있습니다.

Gene Sequencing CEO's Emotions Revealed in Earnings CallAudio recordings of the final earnings call of Illumina Inc.'s CEO, Francis deSouza, reveal signs of anxiety and tension when addressing the contentious takeover of Grail LLC.
출처: fpinvesting - 🏆 43. / 63 더 많은 것을 읽으십시오 »