Last Updated on Apr 15, 2020 by James W
It’s a debate we see played out in practically every sphere, from politics to sports. It basically comes down to this: How much stock should be placed in statistics as opposed to good old-fashioned instincts when it comes to predicting the future results? That, of course, also comes into play in the world of investing. Many people, especially those who have been investing over a long period of time, believe that there is no better judge of where a particular asset or market is headed than their gut feelings about it, while others prefer the tangible results produced by statistics.
It’s a debate that likely has no right or wrong answers, but a stubbornness to accept new ideas into one’s paradigm seems like a bad way to go. For example, an investor that wants to play the cryptocurrency market can try a crypto robot like Crypto Code to complement their own feelings on the subject. Considering that we live in a technological age, it doesn’t make much sense to completely spurn digital help in amassing statistics when it comes to your investment decisions. Here are just a few of the reasons why this is so.
Trying to play the market these days, no matter what market it might be, you’ll find that you are inundated with data and statistics that can be more than one person can handle. There’s just no way you can take it all in at one glance, and the clock is always ticking in terms of the need to make an investment happen in a timely fashion. That’s where some technological assistance can come in handy.
2. Rescue from Emotions
The Rolling Stones might have preached “Emotional Rescue??? once upon a time, but sometimes investors need to have it the other way around. Their emotions can be what gets in the way of the correct decision on an investment. An asset is going to move one way or another regardless of what your own personal connection might be, but it will often move based on how statistical indicators say it should.
3. No Time to Lose
As stated above in the first subheading, timing is of the essence when it comes to investing. Unless you have a professional career in finance, your daily life, whether it’s your job, your family, or whatever, can take precedence over the need for you to make a decision on some foreign currency. Having some sort of digital assistance to tell you, based on stats, the exact moment to make a trade, even to the point where it makes it for you, can lift off a huge burden.
4. One Helps the Other
None of this is meant to say that you should completely disregard your own instincts or informed opinions on an investment. But you shouldn’t go into it without at least considered statistical information that might factor into it.
It’s OK to be old-school in the investment world, especially if it has worked for you in the past. Just don’t be so rigid about it that you shun statistical information, gleaned from the digital age, that can improve your decision-making process.