Trading Psychology: How the Reptile Brain Destroys Your Trading Profits

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we've got two brains i'm sure you've all

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heard of the reptile brain and the the

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front lobe brain well I want you to

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think now folks that you're at a

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summer's afternoon and the barbecue's

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going and kids are having fun playing

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football

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right and you're standing

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there a ball comes out of nowhere

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football comes out of nowhere what do

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you do duck

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yeah without thinking about it similar

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situation but standing there Sunday

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afternoon and somebody throws a ball at

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you it's very

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slowly what do you do you catch it

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okay so if somebody chucks a ball at you

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really really really really really

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fast believe it or not and according to

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this professor of psychology at UCT uh

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there's a part of your

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brain that actually reacts and it reacts

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up to half a second

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faster than your normal brain this

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reptile brain and it job is to keep you

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out of trouble

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and frequently that happens in our

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trading as well where you'll who's ever

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done something dumb that you've sworn

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you'll never do again

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okay and that's because that reptile

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brain is in fact trying to keep you away

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from danger not their lion about to hit

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you but in fact emotional danger and

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another example is that you're driving

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along a road and a dog comes out do you

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swerve yeah you probably do and and

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you've said to yourself a thousand times

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that I'll never swerve again i'm going

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to drive

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straight but in the moment that reptile

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brain so there's a part of you if you're

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not present folks there's a part of you

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that's designed by the Almighty or

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whoever you believe in uh to keep you

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safe and well away from physical danger

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away from emotional danger and if you're

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not

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present you'll find that you keep doing

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really really really dumb things

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so when you're sitting in your trading

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desk it's really really important uh

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that you're totally and utterly there

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not thinking about the past not thinking

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about the future