Recency bias

Giving recent events more weight than they deserve.

In plain English

A few recent wins make a method feel better than its full record; a few recent losses make it feel broken. Only the whole sample says which is true.

Example

Abandoning a strategy after three losses despite a record of hundreds of trades.

Trading Psychology

See also

We count page views to see which lessons help. No ads, no profiling, no data sold. You can say no and nothing here stops working. Privacy policy