The stock market is riddled with animal metaphors.Bearishtraders tend to have a cautious approach, whilebullsare much more aggressive.
Ostrich traders you guessed it have a habit of ignoring negative signals.
Four things, actually.
Biologist and psychologistSuzanne MacDonaldstudied the behavior of urban raccoons in Toronto by tracking them with a GPS-rig.
When it comes to finding food, theyre just as resourceful.
40% off TNW Conference!
Now, apply this to trading.
Thats a lot of eggs in many baskets.
Instead of coming down, it decided to climb further up.
To the audience, the suspense of this raccoons 24-hour plight was almost unbearable.
The raccoon, on the other, hand, couldnt care less.
Heeven took a nap on a ledge on the 20th floor before continuing his climb up.
Because, well, he knew what he was doing.
What youve all been waiting for…#MissionImpossible#MPRraccoon?
Every day, Buffet spends hours reading just so he can make better-informed decisions.
Successful investors do their homework and are constantly learning and gaining new insights.
If he cant, he moves on to another stock.
More specifically, their ability to understand cause and effect.
This experiment has been done with multiple species, and crowsare actually really goodat this.
Last year, a similar test was executed with raccoons.
In this case, marshmallows were dropped in a tube of water.
Some raccoons got the experiment and used the stones.
Something the researchers had never thought could happen.
Long story short, raccoons dont always think inside the box.
An alternative would be to mirror the breakout strategy of someone who does have that experience.
With eToro, you’ve got the option to do just that.
ItsCopyTraderlets you automatically copy the exact trades that other traders make.
And that brings us back to raccoons one last time.
Because while raccoons are considered solitary species, they can also be quite social.
Helpful, even:
So let that be an inspiration for your trading game.
And theres no shame in needing some help or advice every now and then.
Story byAnouk Vleugels
As Publisher, Anouk is responsible for TNW’s overall media strategy.
