The most calculated way to enter and exit positions with DCA strategies, save time, and counter emotional decision-making.
Dec 7, 2022 • 20 tweets • 7 min read
➕ ➖ CALCulated Thinking ✖️➗
Episode #6: Action Bias
Did you know that humans often favor action over inaction for the sole reason of doing SOMETHING?
A🧵on the behavioral phenomenon that could be costing your portfolio dearly 📉
Let's begin by familiarizing ourselves with some typical -Action Bias- daily scenarios:
👉 The driver who is late to a meeting and is constantly changing car lanes in traffic when there is no clear indication that one is faster than the other.
Nov 30, 2022 • 15 tweets • 7 min read
➕➖ CALCulated Thinking ✖️➗
Episode #5: Systems for investing ⚙️
If habits make the person, rules make the investment strategy.
Is having a clear system for your investments the key to becoming a successful investor?🧵 1/ HABITS
Habits are the bite-sized components that make up our lives.
Good habits like eating healthy, working out and being generous create positive outcomes in life.
Bad habits like eating junk food, over-partying and gossiping create negative ones.
It's obvious that not everyone on #twitter has your best interests at heart but have you ever blindly invested in something because everyone else was doing it?
Be more self-aware when making investment decisions by better understanding the mechanics behind the FOMO phenomenon.
🧵
'Fear of missing out' refers to the fear of not being included in something that others are experiencing.
It's a behavioural phenomenon that can directly influence our investment decisions and is rooted in a fundamental human need:
→ A sense of belonging.
Oct 6, 2022 • 19 tweets • 5 min read
Loss aversion — a behavioral phenomenon where humans show a higher sensitivity to potential losses than to gains — is most likely negatively affecting your investment decision making.
But what exactly is loss aversion and how can understanding it make you a better investor?
🧵
The tendency to value something more when it is lost rather than gained is deep-rooted in our evolutionary history:
→ Those that feared the snake in the grass were more likely to pass on their snake-fearing genes than those who were too greedily picking fruit to notice.