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Psychology

FOMO & Herd Bias

A psychological state where anxiety over "being left behind" causes you to ignore rules and buy at the top. In behavioral economics, this is explained as "Herd Bias" (relying on the crowd's safety) and impulsive dopamine prediction errors.

How to Do It

Write down mandatory entry conditions on paper, and define "skipping the trade" as the correct action if not all conditions are met.

Effect

Prevents you from being swept up in market euphoria, allowing you to snipe only the setups where your statistical edge applies.

How to Use

1. Formalize entry criteria
2. Log "skipped" if criteria are unmet
3. Review the subsequent price action of skipped setups on weekends

※This diagnosis is for self-understanding only. It is not investment advice or a solicitation. All trading decisions are your own responsibility.

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