CHAPTER 18

Optimism and Trading

The human trait of optimism is somewhat related to confidence but is not quite the same thing. Optimism relates more to how positive one feels about the outside world, while confidence is how positive you feel about yourself. Optimism is best accounted for on the E6 (positive emotions) facet of the NEO-AC.

People who are overly positive, or overly optimistic, tend to see the world through “rose-colored lenses.” They tend to overlook, filter out, or even flat out ignore negative information, all the while seeking out evidence that confirms their positive outlook. They see what they want to see.

Traders who are high in E6 may forget about certain losing trades (or the negative consequences, punishments, or lessons ...

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