From an evolutionary perspective, a fast fear response made sense (low cost of false positive vs. fatal cost of false negative), but this same mechanism works against us in financial markets

Fear drives people to ignore bargains in the stock market, especially after they have just suffered a loss

Our brain's emotional system (X-system) reacts about three times faster than the logical system (C-system), so fear overrides rational analysis

Fear is always irrational and has no useful purpose in any situation