Behavioral Finance

A mentality characterized by a lack of individuality, causing people to think and act like the general population.

The beliefs that investors decide to use when determining what investments to purchase or sell, when to take an action and why. An investment thesis helps investors establish goals for ...

The feeling or tone of a market (i.e. crowd psychology). It is shown by the activity and price movement of securities.

The overall sentiment or feeling that the market is experiencing at any particular time. Greed, fear, expectations and circumstances are all factors that contribute to the group's ...

An excessive dependence upon a specific tool to perform all sorts of functions. The golden hammer principle states that given a specific tool to use, all of the world looks like an ...

A decision-making process that is based on making choices that result in the most optimal level of benefit or utility for the individual. Most conventional economic theories are created ...

When an individual erroneously believes that the onset of a certain random event is less likely to happen following an event or a series of events. This line of thinking is incorrect ...

Most investors buy high and sell low, but you can avoid this trap by using some simple strategies.

Sometimes your largest financial hurdle is our head. Learn about the common mind-traps that trip up investors.

Curious about how emotions and biases affect the market? Find some useful insight here.

Discover what on-balance volume, accumulation/distribution and open interest can tell you about the market mood.

Market psychology is an undeniably powerful force. Find out what you can do about it.