Emotions : The human brain is mainly connected to emotion-related circuits rather than logical circuits involved in comparison, prediction, reasoning, and judgment. It’s believed that developing circuits for logic and reason is necessary for intelligence , but actually, human judgments and decisions are controlled by emotion-related circuits. Humans need a variety of emotions to think clearly and make well-informed decisions. Inspiration comes from emotions. To succeed in business and invest wisely, you must be emotionally resilient . Emotions need to be active to feel and respond to crises effectively. This is also why you should have abundant access to art . Emotions evolved to be advantageous for human survival. - Joseph’s “just my thoughts”
Stock prices fluctuate constantly. There are several reliable ways to mitigate stock price volatility: trading short-term gap price differences, buying and selling with momentum, or holding high-quality stocks for the long term until volatility averages out. When stock price movement is mathematically differentiated by time, the instantaneous price emerges—but humans cannot act in microseconds. In contrast, computers, with enhanced performance, can now trade at these speeds. Furthermore, by using artificial intelligence to analyze stock data, computers can reduce mistakes and trade algorithmically, unaffected by emotion. Still, even computers are limited if humans incorrectly input trading rules. Humans are not suboptimal investors due to a shortage of information or knowledge, but because they often fail to follow the necessary rules in each situation. - Joseph’s “just my thoughts”