If you think about money, it’s emotionally charged. So if you make some money, you would feel great but if you would lose money, you’d feel bad. If someone steals money from you or you get ripped off, you feel sad and angry. We all have this emotion. We also have all the baggage in the past that money things have happened to us. And we have all the fear and greed about these things happening again.

Those emotions drive most people’s decisions when it comes to money investing. And this is why most people don’t get ahead because emotion up means intelligence down. Why? Because it’s a fight or flight response. The sabre-tooth tiger attacks the caveman; stress increases, blood diverts from the brain to the body, and cortisol is released. So, we get ready to fight or run and survive.

But in the modern world, that doesn’t work for us. We still have the same stress response, the same response to the emotion, but there’s no sabre tooth tiger to run from. There’s only the stock market going up and down, the fear about the real estate deal, someone stealing a hundred bucks from me, and that emotion kills your financial freedom.

So the point is you’ve got to bypass human emotions if you want to be successful as any investor. You do that by having a system or a set of rules or processes that you repeatedly follow so that you know what you’ve got to do regardless of what’s going on up here. This is why you trade your system, not your emotions.

Pin It on Pinterest

Share This

Share This

Share this post with your friends!