There are three psychologies in stock trading.
1. Stock Market Psychology (short-term scenario)
Probably more than 99% of stock traders are not businessmen and they know next to nothing about running a business. They react (not respond) to news and events mostly in emotional ways. Greed and fear are two highly frequenting emotions in stock trading among traders. Emotions are unpredictable and so is the stock market.
Simply short-term stock market forecasting is unreliable, because…