Stock prices fluctuate constantly. There are several reliable ways to mitigate stock price volatility: trading short-term gap price differences, buying and selling with momentum, or holding high-quality stocks for the long term until volatility averages out. When stock price movement is mathematically differentiated by time, the instantaneous price emerges—but humans cannot act in microseconds. In contrast, computers, with enhanced performance, can now trade at these speeds. Furthermore, by using artificial intelligence to analyze stock data, computers can reduce mistakes and trade algorithmically, unaffected by emotion. Still, even computers are limited if humans incorrectly input trading rules. Humans are not suboptimal investors due to a shortage of information or knowledge, but because they often fail to follow the necessary rules in each situation. - Joseph’s “just my thoughts”
In the West, human thinking has primarily developed through formal logic . In formal logic, truth and falsehood cannot coexist. However, in Eastern thinking , it is seen as possible. Some Western dialectical ideas were already recognized in the East. Three main dialectical concepts are: first, reality is constantly changing, so what is true now can become false later (the principle of fluctuation ). Second, due to this ongoing change, contradictions always emerge, and these contradictions drive further change (the principle of contradiction ). Third, the whole is greater than the sum of its parts, and each part relates to the whole (the principle of relationality or holism ). This is reflected in yin and yang in Eastern philosophy and Taoism. Eastern thinking regards contradictions, confrontations, and change as natural phenomena. This mindset difference also influences management and investment . If the economy improves, Westerners tend to believe it will keep improving, while Asia...