Investment Psychology

Pessimism significantly influences market behavior, often shaping investor decisions during periods of uncertainty. Understanding this psychological phenomenon is essential for

The impact of optimism on investments is a critical component of investment psychology, shaping both individual decisions and broader market

Self-attribution bias, a well-documented phenomenon in investment psychology, significantly influences individual and collective market behavior. Understanding its role in market

The disposition effect in selling stocks illustrates a common paradox in investment psychology, where investors tend to hold onto losing

Recency bias significantly influences investment timing by causing investors to overweight recent experiences and market trends when making decisions. Recognizing

The illusion of control in trading is a cognitive bias that can significantly influence investor behavior, often leading traders to

Mental accounting, a key concept in behavioral finance, significantly influences how investors make decisions and manage their portfolios. Recognizing the

Loss aversion significantly influences investment decisions, often leading investors to prioritize avoiding losses over seeking gains. This behavioral bias can

Confirmation bias in stock selection is a pervasive psychological phenomenon that influences investment decisions, often leading investors to favor information

Anchoring bias in investment choices significantly influences decision-making, often leading investors astray from rational analysis. Recognizing how initial information can