The Big Picture - Macro Perspective on the Capital Markets, Economy, Technology, and Digital Media

Terrific out of context quote that is very applicable to investors and traders:

>

“Dozens of studies have shown that witnesses’ memories of events often change when they are supplied with new contextual information. Itiel Dror, a cognitive psychologist who has done extensive research on eyewitness and expert testimony in criminal investigations, told me, “The mind is not a passive machine. Once you believe in something—once you expect something—it changes the way you perceive information and the way your memory recalls it.”

>

In the bull bear debate, think about all of the cognitive foibles and wetware errors we each bring tot he table in terms of processing news, data and information.

>

Source:
Trial by Fire
David Grann
New Yorker, September 7, 2009
http://www.newyorker.com/reporting/2009/09/07/090907fa_fact_grann