Cognitive dissonance is defined as the discomfort that arises when a person recognises that he or she makes choices and/or holds beliefs that are inconsistent with each other (Festinger 1957); and its effect is even more acute when the beliefs in question relate to ones concept of Self.
Will this new belief result in me being perceived as an average trader, or even worse a crap trader?
We have all seen this manifest in the struggle we as traders have accepting and realising a losing trade. The same struggle applies to developers of automated trading systems, who cannot “pull the plug” on the system they have put so much into.
Our inability to reconcile a deflation to our EGO is probably the single biggest impediment to profitable trading, and usually results in us taking bigger loses than we would have anticipated when entering the trade.
Its time to be brave and look a little deeper so that we can increase the knowledge of our Self.
Psyquation wants to partner you on that journey.