➫ The term#FOMOis widely spread among traders, as we sometimes find people described as being in a state of FOMO.
So what is FOMO?
➫ In the world of trading, the concept of FOMO (Fear of missing out) can be used to describe the behavior of investors who buy stocks or financial assets due to fear of missing out.
This is usually done when investors see a rise in the prices of stocks or financial assets, and they fear they will miss out on the opportunity to gain profits.
➫ FOMO behavior can lead to poor investment decisions, as investors buy stocks at very high prices, and then there is a decline in prices, leading to significant losses.
➫ The concept of FOMO is widely spread in the world of trading, especially in the digital currency market (crypto).
Investors feel pressure to buy digital currencies due to their high prices, and fear that they will miss the opportunity to obtain large profits.
➫ To overcome FOMO behavior, investors must define a clear investment strategy, plan time and effort well, not respond to external pressures and focus on fundamentals.
Technical analysis of stocks or financial assets before making buying or selling decisions.
➫ It can be said that FOMO is a condition linked to the trader’s psychology, which may control his decisions if he is not committed to a specific plan while conducting buying and selling operations.
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