Game Theory Trading Psychology 📚 Psychology is one of, if not the most important concept within trading. Game Theory Psychology is understanding that your edge depends on what other traders think, expect, and plan to do - Not just Technicals and Fundamentals. The value of your move should depend on the moves of others - Not to copy others, but to look at the masses and create an inference due to majority of Traders being unprofitable without a reliable edge. Most of the participants in the market are nothing but liquidity providers, find out where the dumb money is going and avoid the trap. Sometimes your best decisions come from what you think others will do, or what they will not do. — 4 Levels of Strategic Thinking and Key Components: — Level 0: Emotional Traders / Gamblers — Level 1: Good News Means More Buyers — Level 2: Everyone expects price to move one way, so it’s already priced in — Level 3: Others are thinking level 2, so the opposite might win