Psychology of the stock market

Adapted from a book by G. C. Selden published in 1912.

Original available at gutenberg.org.

It examines the psychological background of stock market movements and how investors' emotions and behavioral patterns influence stock prices.

Main topics:

Mob psychology in the market: People tend to follow the crowd, which results in bubbles and panics.

Greed and fear: These two emotions are the primary drivers of stock market fluctuations.

News and speculation: News does not move the market by itself, but the mass reaction to it.

Market cycles: Due to human nature, markets follow repeating cycles.

The book is still relevant today, as the basic mechanisms of market psychology have not changed significantly in the past century.

Well-organized, searchable format, with pleasant background music.