Trading Markets – When therapists first meet with their clients, they do a lot of listening. What they’re listening for are themes–patterns that run through people’s lives. Sometimes these themes are ones of emotion: people feel certain ways in particular situations. Other times, the themes involve patterns of action. On still other occasions, we find thought patterns. Whenever someone seeks help, it is because a pattern is interfering with their lives, and they want to change that situation. The role of the therapist is to figure out what that pattern is and then introduce a set of measures for changing it. As a result, a great deal of a therapist’s time is spent deciphering the thematic patterns that run through a person’s life, just as a reader will discern themes in a well-crafted novel or symphony.
Markets possess their themes as well, and deciphering them can prove quite profitable. Consider the past 25 trading days in the stock market. Seemingly, not much has occurred. The S&P 500 Index (SPY) is up less than a tenth of a percent in that time. On a closing basis, we’ve stayed within a 2.5% range over that span. The average trader would discern no theme, no trend, and leave it at that.
But let’s be psychotherapists and look beneath the surface.
