The Study Of Psychology And Philosophy Of Stock Traders

The success in stock market comes from two ways , the first is hard study and clear perspective on stock market ,the second is rational trading which based on the mature personality of investors. The two ways are all based on trader psychology, and are all directed and restricted by rational investment philosophy. The article can be divided into three parts:Part one, Analysis of investors psychologyStock traders are " un-perfect rational economic people ", which is confirmed by stock trading and psychology. There are three course of Investor's psychology as cognition , mood & emotion , will, which prone to the deviation , that make investor's behavior unreasonable. The experience of Unrational stock trade result in loss ,and worry of present trade, make investor to be anxious.Investors make great efforts to pursue rational cognition and rational trade under anxiety , under the guidance of reasonable theory of investment, of which the function is put anxiety down.Part two, analysis of investment philosophyThe investment philosophy includes investor's value judgments to stocks, and investor's rational behavioral norm . The value judgments are compatible to stock market fluctuation, and are the standards of deciding the most valuable or fancy stocks in the bull or bear market. The norm is used to overcome the influence of perceptual thinking and mood, and carry on the rational trade by an investor, which can be the sign of ripe psychology of investor else.The investment philosophy as the value judgement has its own life periodicity which is divided into four basic stages as introducing into, growing up, be riping and declining. Also, replacement between the value and growth phibsophy is in stock market, which guide the successful trading activities of bear market and bull parket separately.Part three, introspectionSuccessful investors have rip personality, and the failures have psychological problem. The psychological problem is challeging to the majority of investors, and of course, it can only be cured by psychotherapy, so, sel psychotherapy can benefit to investors. Introspection is the bestmake great help to investors.There are three innovations : first, the link between psychology and philosophy of investors .second, two laws of philosophy of investors . third, suggest the traditional introspection to investors.