Because traders don’t just trade with logic.
They trade with dopamine.
1️⃣ Green candle = feeling of victory
The brain loves green.
It triggers the feeling:
* “The market is running”
* “I’m about to miss out”
* “Everyone is making money”
FOMO starts from here.
2️⃣ Herding effect
When seeing the candle standing up:
>> “There must be some news.”
>> “The whales must be in.”
>> “Not joining is foolish.”
Traders fear being out more than they fear losing money.
3️⃣ Illusion of safety
Paradox:
* The higher the price → the greater the risk
* But the brain thinks: “It’s going up, must be safe”
That is a psychological bias called **recency bias** – believing that what just happened will continue to happen.
4️⃣ Dopamine > Plan
When the green candle appears:
The plan is thrown out the window.
Stoploss is moved down.
Entry is chased.
And then...
Red candle appears.
The cold truth
Green candle attracts retail.
Red candle attracts smart money.
Money makers wait for a pullback.
The one losing money chases the breakout.
You want to feel right
or want long-term profit?
