In trading, the recency bias / effect is when a trader focuses too heavily on his or her most recent trading decisions / trades and loses perspective on the bigger picture. In other words, when a trader has recency bias, they can't see the forest for the trees, so to speak.
Ask most people about their views on bitcoin, most would tell you about its parabolic rise from cents to multiple thousands, making many people become millionaires in probably the shortest period of time.
So, the temptation to board the train is abnormally high as these "late comers" would deem it as an opportunity to get out of their debts or simply make more money, fast. While other countries are banning or imposing strict regulations on cryptocurrency, Japan , the contranian embraces it with open arms.
Always trade safely, use Stop Loss and follow your trading plan. All authors here are merely offering another perspective for reference, not to blindly follow. All the best !!!!
Ask most people about their views on bitcoin, most would tell you about its parabolic rise from cents to multiple thousands, making many people become millionaires in probably the shortest period of time.
So, the temptation to board the train is abnormally high as these "late comers" would deem it as an opportunity to get out of their debts or simply make more money, fast. While other countries are banning or imposing strict regulations on cryptocurrency, Japan , the contranian embraces it with open arms.
Always trade safely, use Stop Loss and follow your trading plan. All authors here are merely offering another perspective for reference, not to blindly follow. All the best !!!!
Comment:
Hitting the 50% - 61.8% FIB level, do not rush to buy, wait as you can see selling is not done yet