Joshua Brown posted a blog article on Tim Richards' series on Behavioral Biases that regularly sabatoge traders and investors. I've been posting these periodically over the past year or, but here's a convenient list of all the articles from Josh.
The A to Z of Behavioral Bias
Courtesy of Joshua M Brown
I’ve been plowing through this entire series of posts on behavioral biases over at the Psy-Fi Blog for a few weeks now. They’re a lot of fun and the series, in totality, is a pretty big achievement in financial blogging. These started coming out last June so you’re not late to it. [You can’t be late, these have little to do with market does day to day.]
Each of the links below takes you to the relevant post at Psy-Fi, so have fun and think about how they apply to your own investing and trading habits:
C is for Confirmation Bias
D is for Disposition Effect
E is for Ego Depletion
F is for Framing
G is for Gambler’s Fallacy
H is for Hindsight Bias
I is for Illusion of Control
J is for January Effect
K is for Kruger-Dunning Effect
L is for Loss Aversion
M is for Mental Accounting
N is for Negativity Bias
O is for Overconfidence
P is for Priming
Q is for Quantification Fallacy
R is for Representative Heuristic
S is for Self-Enhancing Transmission Bias
T is for Texas Sharpshooter Effect
U is for Uncertainty
V is for Von Restorff Effect
W is for Winner’s Curse
X is for Xenophobia
Y is for Yawn Effect
Z is for Zero-Risk Bias
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