We would all like to think that we are rational, determinist creatures and base our decisions especially, the ones with monetary outcomes on logic, systems, and intent.
But if that were to be true, then markets should always be in consensus about what is logical and “correct” or at least there shouldn’t be as many types of market participants such as Option sellers, buyers, arbitrageurs, scalpers, bogleheads, dividend hoggers, bottom fishers, WSBers, Theta Wheelers, Delta Dealers, VIXers.
Even in popular culture if you see, the caricature of the “Trader” is troped as that frothing from the mouth, money-minded, contrarian, utterly insufferable type of character. Whereas this is not true at all, we meet different kinds in every tribe.
But then again there is some fire to the smoke, as not just in trading you take any profession or human enterprise and no matter how open-minded you may be, you do have certain behavioral expectations from different tribes. Imagine going to a doctor’s clinic, and find them smoking, and they ask you “So uh… what do you think we should do about your infection ?” , or an Army personnel who has purple hair and runs at the first sound of a gunfire. You get the point. We presume a certain personality out of people who do certain things.
So this brings me to the point, do you think the way you lead your life, or your personality which was formed growing up, plays some role in your trading/investment style at all ? Or do you think you act out of what you have previously learned in the market and personality is non factor regarding what you do with money. Go ahead let us know.
Poll :
- My Personality plays a major role in my decisions.
- My Personality plays no role in my decisions.
- Its a mix of personality and system based decision making for me.
0 voters