Prechter’s socionomic theory explains how and why our brains make it so hard to buy low and sell high
By Jill Noble
Tomorrow’s market may go up, down or sideways, but here’s what stays the same: Most investors consistently fail to buy low and sell high. Why?
As it turns out, humans are hard-wired to react emotionally instead of rationally to stress and other aspects of survival.
In his presentation at the London School of Economics, Robert Prechter discusses the biological impulses that make “rational self-interest” so difficult:
Prechter condenses three decades of research on socionomic theory and Elliott wave patterns into a two-hour presentation that anyone can follow and understand.
His engaging talk illustrates how waves of optimism and pessimism in collective psychology appear not only in finance and the economy, but also in popular culture, politics, sports and the news.
Make sense of the swirl of financial and social events going on around you. Experience Prechter’s extraordinary address at no additional cost when you purchase a one-month subscription to The Socionomist. Learn more.
The Socionomist enables you to see trend-shaping waves of social mood, as reflected by the stock market — and capitalize on them. The June issue looks at phases of social mood and features a “Research Roundup,” which highlights five academic studies that shine a light on important aspects of socionomic theory. Mood Riffs topics include “quiet luxury,” loneliness, the Writers Guild strike and efforts by countries to trade in currencies other than the U.S. dollar. Read the June issue when you become a Socionomics Premier Member.
