Human Instinct and Trend Following

Feedback in:

Hi Michael I haven’t written to you before but I have all four of your books as well as your film. One comment about the film, Amazon would not deliver this to destinations outside of the US, so you might be losing some business there (international buy here).

I really enjoy your podcast, please keep up the good work. I wonder if there any chance of getting an Ed Seykota interview?

I am currently reading the book: Human Instinct by Robert Winston and the BBC. I quote below, some paragraphs taken from the book. I have not investigated the accuracy of these words, but have taken them at face value. If true, they strike me as incredibly supportive evidence as to why trend following will always work.

from Page 16: “Human consciousness is often portrayed as pure and all-knowing reason that can escape the confines of our biological existence. Our minds are rooted firmly in our evolutionary past. Our reason is bound up in layers of instinct, of prejudices, desires full of both selfishness and kindness, underpinned by a will to survive and a will to reproduce”

from Page 51: “The work of neuro-scientist Josheph LeDoux, a professor at the Centre for Neural Science at New York University, has uncovered some fascinating facts about our fear response. LeDoux and his team have shown that the amygdala’s connection to the eyes and ears is a special ultra-fast pathway which means it has access to raw and unprocessed sensory information. There is no involvement of the higher, conscious brain, no cognitive processing which tells the amygdala what to do. So it turns out that our most primal emotion, to advance or retreat, is triggered so fast that it precedes all conscious thought and awareness. Because our brains are hard wired to feel before they think and indeed to feel at lightning-fast speed, our amygdala will often make mistakes.”

Best wishes Brett

Thanks Brett!

You might like my 2017 epic release: Trend Following: How to Make a Fortune in Bull, Bear and Black Swan Markets (Fifth Edition). Revised and extended with twice as much content. Out April 24th 2017.