Left Brain Versus Right Brain 🧠 (Find out which one is you) 📚Left Brain Versus Right Brain-Thinking vs Feeling
Hello all. I put this educational content to help you realize how these two very important psychological concepts play part in almost every traders life. I wanted to bring to you this unusual educational content which I personally learned from a book called, “Trading from Your Gut” by Curtis Faith. This knowledge came to serve me a long way and I hope it helps you too.
First let me briefly highlight the differences between Right and Left hemispheres.
Right Brain hemisphere : (It is definitely time to buy now):
It is a cliché and you probably know it, “listen to your gut”. Right brain traders use gut instinct as the basis for powerful and rapid decision making. Unfortunately, too much reliance on an untrained gut can be disastrous for the inexperienced trader. This is because the right brain is quick and intuits instead of reasoning. Thus, it can be a powerful tool in the hands of an experienced trader who not only relies on intuition, but also reasoning and logic.
Left Brain hemisphere : (I will only buy if):
Left brain traders know exactly why they enter certain trades, following specific set of criteria that must be met before initiating a trade. Instead of relying merely on intuition and feelings, left brain traders analyze, use linear thinking, categorize, theorize, and only then put on certain trades. It is only after when left brain trader will trust his/her gut to execute the trade.
So which is better ? (Integration of both hemispheres):
Using intuition to decide when to make trades is not a bad thing when used in combination with logical reasoning using analysis, data and tools. In other words, to become a better trader, one should incorporate both left and right hemispheres and have a balance between brain’s two primary types. It is not about “thinking versus feeling” per se, but rather combining thinking and feeling to be able to intuitively make better trading decisions.
No intuition is good without knowledge and without receiving training. Thus, you should never solely rely on trading from your gut.
Bonus for you :
•If you are a short-term trader or a scalper, you are likely using your right brain due to not enough time to perform analysis.
•if you are a long-term trader or a swing trader, then you are using your right brain given plenty of time for analysis.
•Remember, left brain analyzes, and the right brain notices. Use your whole brain to trade this year.
Thanks for reading, and I hope you can use this for your advantage in this new era of volatility.
Enjoy, and happy 2022 everyone.
