Hormones stock

Often years we have been in the bag without doubt brokers have to be made of other wood to withstand such pressure and able to act outside of all emotions such as fear or euphoria.
So I ask myself what characterizes these brokers? What goes through their bodies? Do something special?.

Fortunately, this is what they asked two researchers from Cambridge University, John Coates and J. Herbert, who were proposed to determine the hormonal changes experienced by operators bag. As a hypothesis, proposed an increase of testosterone as a hormone associated with aggression, and of cortisol, which is related to stress management. They interviewed 17 operators in the London Stock Exchange, for eight days, and measured in their saliva hormone levels before and after the workday.

The authors found that increased testosterone meant to achieve major gains. One of the operators, after six days, doubled its results at once that his testosterone level rose by 74%. If at the end of the day, had a high level of testosterone, their earnings that day exceeded the monthly average, and if the level was high before you start the day, its results will also exceed the average. In short, more testosterone, more profits.

The financial journalist Jason Zweig believes that in moments of success, investment can create addiction. "If one makes money and more money, it creates an addiction similar to chemical drugs, and it is difficult to quit."

Researchers from the universities of Stanford, Carnegie and Iowa went further and compared the reactions of ordinary people with others who had suffered brain injuries that limited his emotions. They perform better because the first stop betting for fear of losing everything. According to one of the authors of the study, Baba Shiv, "emotions have a role to accelerate decision-making, but in some circumstances it is better to refrain from emotional response and make a wiser decision." Coates attributed to hormones such reactions little sound of the brain.

This may explain the greed of many and not knowing how to retire early. So you know, Be very careful with your hormones ... and with those of others.

PS: Greetings from the beach

Written by Carlos Lopez on July 21, 2008 with 216 comments
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