May 9th, 2021
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Buy low, sell high
You might think I'm referring to the old adage which essentially means "buy an asset when it is underpriced, and sell when it is overpriced." I'm not. I'm a behavior psychology major, and when I say buy low, sell high I mean that you should only buy when you are in a very bad mood, and sell when you are in a very good mood.
Why? Psychology tells us that people in bad moods are more often able to determine a good price for an asset, while people in good moods are are able to determine when a streak has run its course. This is why depressed people tend to win bigger on the stock market: their sell timing is impeccable.
May 9th, 2021
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Comments:
wontonforevuh
15
UselessScrapu
Time to replace myself with a robot then.
9
Drunken_Brit
Cannot compute. Error Error Powering down
2
Ill-Woodpecker1857
I agree that one shouldn't trade based on emotion but since ones mood affects one's decision making process you don't have to trading on emotion for what OP said to still be relevant.
2
LuciusDickusMaximus
It is impossible to trade without emotions. We must accept that emotions are inevitable and we should, instead of trying to lobotomize ourselves, use our knowledge of emotional science to determine a good trading strategy.
3
wontonforevuh
Yes it is. It's a learned skill just like trading itself. Once you come up with a profitable strategy for trading you let it take over.
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LuciusDickusMaximus
No, because that profitable strategy was crafted by you, an emotion creature. So the strategy is emotional.
And you cannot learn to be not emotional. I guarantee if I stole your girlfriend, you'd cry no matter how much you "learned".
1
wontonforevuh
bro wut. A relationship is inherently emotional. Buying and selling assets doesn't have to be. You're comparing apples to oranges.
1
[deleted]
Limit buy, limit sell. Automated recurring purchases.
LuciusDickusMaximus
Sounds like good advice for someone who wants their money gone within a week!
1
awfullotofocelots
You're really telling me you didn't use your hormone soaked brain to choose those limit prices?
1
ZeBacon
So just write a script lol?
You could say you leave emotions out of it, but even meditating daily couldn't take emotions out of everything you do.
Seems less like a strategy and more like something to keep in mind when you can.
1
linky404
4
Dr_Tacopus
Get high taxes?
2
LuciusDickusMaximus
Trading while under Marijuana intoxication is hardly a joke. Did you not hear about Henri Follock and his experience while trading under the influence? Jesus man, poor taste.
1
linky404
"Marijuana intoxication" lol I'm out.
And no I have not.
1
LuciusDickusMaximus
Well if the shoe fits...
1
ehh_what_evs
2
U-Chata
2
MistrWintr
As someone with chronic depression, I can safely say that it is a myth that we experience constant downs.
I have good days and I have many more really really bad weeks that often outweigh the good, and can even make me afraid of the good.
But it’s not one constant state of misery, it comes in waves.
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LuciusDickusMaximus
Yep. Thanks for clarifying for this Redditor, sir. And I hope the good outweigh the bad for you tonight and all nights :)
2
throwawqyyy
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Dr_Tacopus
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ThePhantomDave
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LuciusDickusMaximus
I can't tell if this is a joke, or....
You do realize that by selling an asset at a higher market value and then selling said asset at some future date when it is at a lower inflation-adjusted market value, you would be at a loss?
ThePhantomDave
It's an r/CryptoCurrency meme lol
2
_o__0_
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[deleted]
1) Get Depressed 2) Watch Cryptobros on Youtube 3) Doge To The Moon!?!? 4) BUY ETH!!! 5) Buy Alt Coin 6) HODL!!!!!!
1
oedipusplatypus
1
Jasond777
1
geekphreak
1
EinArchitekt
forgetful somber employ snow dependent vase ludicrous cough bear tart
This post was mass deleted and anonymized with Redact
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