Emotions are the main cause and driving force in the stock markets.
Last week I shared some thoughts why understanding our mind as a tool that tries to live in an uncertain world is an important challenge.
Because the brain hums away invisibly in the background, we tend to overlook its contribution and take it for granted. Misunderstanding the working of our own mind does not, thankfully, prevent the mind from doing its work. Making errors about the inside of our head doesn’t change what’s there.
And that mind of ours tricks us all of the time.
We are biased.
We can never be immune to biases, but the more we know, the safer we will be from self-deception.
Be warned though: