📄️ Interpretation Mistakes Overview
Learn the most common news interpretation mistakes that trip up investors and how cognitive biases distort what financial news actually means.
📄️ Narrative Fallacy in Finance
Understand how the human tendency to create explanatory stories causes investors to misinterpret random market moves and coincidental events.
📄️ Post Hoc Reasoning in Finance
Learn why assuming that correlation means causation is one of finance's deadliest interpretation mistakes, and how to avoid false causal claims.
📄️ Confirmation Bias in News
Understand how confirmation bias causes investors to seek news supporting their beliefs and ignore contradicting evidence, leading to poor decisions.
📄️ Anchoring Bias in News
Learn how the first number you see in financial news anchors all your subsequent judgments, leading to systematic errors.
📄️ Availability Bias in News
Understand how recent or memorable financial news disproportionately influences your judgments, causing you to overweight vivid events.
📄️ Recency Bias in News
Learn how recent market performance and news disproportionately influence investment decisions, causing you to extrapolate short-term trends.
📄️ Overweighting loud voices
Learn how media amplification of personality-driven voices distorts market decisions. Avoid overweighting loud voices in financial news.
📄️ Mistaking noise for signal
Learn the difference between noise and signal in financial news. Avoid reacting to daily fluctuations treated as meaningful trends.
📄️ Mistaking correlation for causation
Avoid the correlation-causation fallacy in financial news. Learn how markets are driven by multiple factors, not single causes.
📄️ Extrapolating recent trends
Learn why extending recent financial trends into the future is a common mistake. Market conditions change, and past patterns often don't predict futures.
📄️ Following news instead of leading
Learn why acting on financial news after you read it means you're already late. The price has typically moved before the headline reaches you.
📄️ Anchoring on old price targets
Learn why price targets published by analysts become mental anchors that distort your perception of value. Old targets often mislead future decisions.
📄️ Fighting the tape
Learn what fighting the tape means and why betting against the current market trend often destroys wealth. Respect market momentum even when you're bearish.
📄️ Revenge trading after bad news
Learn why investors emotionally retaliate after losing money and how financial news amplifies revenge trading. Discover practical strategies to break the cycle.
📄️ FOMO trades driven by news
Understand how financial news creates fear of missing out and triggers poor investment decisions. Learn why FOMO trades underperform and how to resist them.
📄️ Paralysis from news overload
Understand how information overload creates decision paralysis. Learn when you have enough information and how to move forward with imperfect knowledge.
📄️ Overconfidence in news trades
Learn why financial news creates unwarranted confidence in trading abilities. Understand the psychology of overconfidence and how to calibrate realistic expectations.
📄️ Checking yourself: a checklist
Learn a practical checklist to evaluate whether a news-triggered investment idea is genuine or driven by emotional biases. Catch mistakes before they cost you.
📄️ Recovering from news-driven mistakes
Learn how to recover emotionally and financially from investment mistakes triggered by financial news. Build resilience and improve your future decision-making.