@Dr_Ashutosh_MD Heartiest congratulations Sir, on your upcoming book. Your insights on trading psychology have helped countless traders understand the importance of discipline, mindset, and emotional control. Wishing this book great success and a wide readership. Looking fwd to learning from it.
Bullish Setup Insight
GIFT Nifty is indicating a potential bullish expansion on Monday.
The recent low volume in the uptrend reflects hesitation from bears, not weakness.
Sellers were not aggressive ,they were waiting.
Now, with price holding strong:
➡️ If momentum continues, bulls are likely to take control
➡️ A fresh expansion phase may begin
Key Insight:
Low volume in an uptrend is not always bearish
sometimes it signals absence of selling pressure before a move higher
I have joined Varada Research . We r going live from first week of April .
Also we will be sharing index levels and all other updates in telegram .
Do join in free telegram
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🧠 Why People Short a Rising Price
Shorting a rising market isn’t always irrational - it’s the timing and emotional motive that make it destructive.
Successful traders wait for confirmation of weakness, not just a “feeling” that price has risen too much.
Even though logic says “trend is your friend”, many traders go against it. This happens because of a mix of cognitive biases, emotional impulses, and ego traps.
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1. Ego & Need to Be Right
•Many traders feel a deep urge to “call the top.”
•Shorting a rising market gives them a feeling of intellectual superiority — as if they’ve spotted something others missed.
•They want to “prove the market wrong” rather than make money.
•The emotional drive is: “I knew it before it crashed.”
Neuroscience:
The ego triggers dopamine from the feeling of prediction or control, not from profit itself.
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2. Fear of Missing the Reversal
•Watching price go up endlessly builds FOMO of missing the fall.
•The mind says: “It’s gone up too much, it must come down.”
•This is a classic mean reversion bias — assuming prices will return to “normal” soon.
Emotion in play:
Fear + Impatience → they want to catch reversal early instead of waiting for confirmation.
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3. Illusion of Control
•Traders feel they can time reversals precisely using indicators or overbought signals (RSI > 70, etc.).
•They mistake statistical probability for timing accuracy.
•In reality, a rising trend can stay irrational longer than they can stay solvent.
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4. Pain of Chasing
•Many people psychologically hate buying high.
•Their brain equates buying a rising stock with “being late.”
•They feel more comfortable shorting because it feels contrarian and “smart.”
Underlying emotion:
Aversion to paying high prices → linked to loss aversion bias.
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5. Revenge or Frustration Trades
•After missing a long opportunity, traders short impulsively to “get even.”
•This is a subconscious revenge act: “I’ll profit from its fall now since I missed the rise.”
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6. Overconfidence from Past Tops
•If they once successfully shorted a previous top, the brain remembers that dopamine hit.
•The neural pattern says: “I caught it before, I can do it again.”
•This builds false confidence and repeated countertrend behavior.
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7. Neuroscience of Shorting a Rising Market
•Amygdala (fear center): activated by “it’s gone too high — danger of fall.”
•Prefrontal Cortex (logic): overridden by impulse and ego.
•Dopamine system: chases the thrill of reversal prediction, not the consistency of profit.
It’s essentially a battle between emotional satisfaction (ego reward) and rational survival (trend following).