The Monkey Experiment That Explains Trading Addiction.

[Wind_FURY]

“Maybe the next one will hit.”

But for some reason, I agree with that sentence more for gambling. I am sure some gamblers feel and have that experience. Whereas in trading, maybe not all traders will have that kind of thought. Moreover, in the trading process, traders are probably more careful. It's not just a matter of opening a trade position and hoping for luck.

Perhaps, in gambling, the plebs already have accepted that they're gambling. But in trading, the plebs are probably thinking that they actually have an edge although they truly don't, so therefore they believe they're not gambling but actually are gambling.

 ¯\_(ツ)_/¯

90% of people who trade lost, and MOST of that have studied/learned about trading.

[Curious T]

Isn't this an experiment about intermittent reinforcement? There is definitely a high persistence when there is the anticipation of

It is. And it happens in any area of life where the reward is unpredictable, but it's worst in gambling and trading. The voice in the brain always tells you to try one more time because that may be the time you hit. It quiets the other part of the brain telling you to quit by saying stuff like "what if you quit when you are so close?", and this makes you try again and again till you have nothing else to give. The wisdom and discipline to know when to stop helps a lot because, truth be told, if you stop, you're not missing out on anything.

[bitgolden]

I respect some story to explain something but unfortunately that is not what trading is about. The key here is that, you give the monkey random rewards, and then eventually you STOP, and that's why monkey keeps going, because he doesn't realize it stopped.

Trading is not like that, it does not stop, you actually can make money, at any given moment, it never stops, it's always random, and if you know how to, then it is not even that much random and could be done which is why it's a good idea to keep going.

[Sanitough]

I respect some story to explain something but unfortunately that is not what trading is about. The key here is that, you give the monkey random rewards, and then eventually you STOP, and that's why monkey keeps going, because he doesn't realize it stopped.

Trading is not like that, it does not stop, you actually can make money, at any given moment, it never stops, it's always random, and if you know how to, then it is not even that much random and could be done which is why it's a good idea to keep going.

Couldn't agree more. Trading rewards are endless, and even if you stop trading, the rewards continue but not for you but for other capable traders. So if we analyze it well, what's the reason to stop in trading if in the long run, it can be learned and mastered. Experience could be the best teacher, and along with it risk management and discipline will also be mastered as well.

Trading creates no guarantees of winning, but if you're smart-wise and well-experienced on it, trading will be a piece of cake. Profits become more visible than losses.

[Dr.Bitcoin_Strange]

If someone is trading like that, it means they are gambling, so it will be difficult to even because successful and sustain it but when you fix your psychology and your strategy, you could be successful, trading is very risky and it take the right psychology to be successful, many people thinks that trading is a get rich quick scheme and that's why they trade with impulse and end up blowing accounts.

[joeperry]

Thanks for sharing the story, I am not an expert and I'm not sure but I'm not sure if the experiment is right? I think they should consider a punishment, not phyisically harming the monkey but other type of punishment so it could relate to trading. In the story the monkey get reward for doing the task right and sometimes it gives reward but the thing is, the monkey will continue doing the task even if the reward system is unpredictable since he has nothing to lose. If you compare it to trading the user not just only not receiving a reward but rather losing something and I think if you applied it to the experiment maybe like he will receive a punishment for failing a task then I  think or I believe that it will have a different result. Not sure if you get what I'm saying but what I want to tell is in the experiment they should consider the losing element too.

[Wind_FURY]

I respect some story to explain something but unfortunately that is not what trading is about. The key here is that, you give the monkey random rewards, and then eventually you STOP, and that's why monkey keeps going, because he doesn't realize it stopped.

Trading is not like that, it does not stop, you actually can make money, at any given moment, it never stops, it's always random, and if you know how to, then it is not even that much random and could be done which is why it's a good idea to keep going.

The point of OP's post is not about whether trading could give the pleb some profit at any given moment, or not. It's about the pleb not stopping trading even if he/she is a losing trader. It may give random profits at any given moment, but if those losses are larger in amount and more in frequency compares to gains, then the pleb will never stop trading until he/she loses all his/her money. - THAT'S the point.

[monetizator4]

The monkey's behavior does illustrate persistence despite uncertainty, but trading isn't exactly like that, markets do stop moving sometimes. If you can navigate the randomness with a solid strategy, it makes sense to stay in for the long haul. But remember, real trading involves risk and requires careful planning. Not all monkeys learn from random rewards, some may need more structured learning

[Nothingtodo]

We have become just like monkeys, where just as the monkey would do the work constantly for the sake of getting a reward, similarly, we also gamble constantly for the sake of getting profit from gambling in life.
When we get profit from betting, we keep betting and even if we don't get profit, we keep betting. In the end, we go bankrupt after not getting profit but after betting.
I really enjoyed reading the story. An educational story.
However, it is not directly related to trading. It can be directly compared to gambling. However, the story is instructive.

[JaanusRaim]

If you can navigate the randomness with a solid strategy, it makes sense to stay in for the long haul.

navigate the randomness with a solid strategy

I love these words !

[jossiel]

That is human nature thinking of those rewards will come if we complete things which is a real thing.

Until we get used to it whether there's a reward or not. But in trading, that's a complete different thing. It's not only accomplishing things but it's about winning what you have set.

There's a sure and clear reward after winning the trades and that becomes the motivation. I would think about the challenge and getting rewarded with that and that challenge has to be won.