Depletion Theory

Tired traders might find this post from Dan Ariely of interest &/or useful.

One theory in decision making that we are beginning to understand better, Depletion Theory, holds that our ability to make any type of difficult decisions are also adversely affected by fatigue.
Consider the dramatic results of a recent study by Shai Danziger, Jonathan Levav, and Liora Avnim-Pesso … Their conclusion is striking.

I wonder how this applies to trading-related decisions? It would seem obvious to me that tired traders make poorer decisions.

Article here:
Depletion and parole
http://danariely.com/2011/05/20/depletion-and-parole/

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