Why Do People Engage in Self Destructive Behaviors?

[GlassOnion 12]

OK all you amateur psychologists, here is a question for you to ponder. "Why do people engage in self destructive behaviors?" What makes someone do something they KNOW is destructive to them. Addiction is the first thing that comes to mind. Alcoholism, drug addiction, smoking. Why do individuals engage in these behaviors when it is proven that there are severe negative consequences to their health? Before you argue that addiction is physical, think again. Not all addictions are physical. How about those who purposely eat too much or to little. Or those that cheat on their spouses, or those who gamble?

 

Now before you start to click the delete button on this subject, think for a minute, this has a direct effect on your trading. What causes you to break you discipline when you KNOW it will not turn out well? What is it inside of us that says, "...well maybe THIS time it will work...I don't do it all the time." It is the same justification I hear being used in other self destructive behaviors. "This one cigarette won't cause cancer." "I won't get diabetes from this super size." "I just drink when I'm out with friends." "I know this trade isn't according to my strategy, but I think it will work out this time."

 

I am as guilty as anyone of the above statements (accept smoking). But what happens inside the human mind when this occurs? What is it inside of each of us that causes this? I ask this because I think that for me, (and I'm willing to bet, most of us), that discipline is a significant key to success in trading, and life for that matter. Understanding and correcting this seemingly small flaw could go a long way to improving just about everything life throws at us.

 

Is there some bio-chemical reaction that occurs at the synapse level that causes this kind of thinking? Is it just a human propensity to "sin" and therefore self destruct? Are there "treatments" for improving or preventing these types of behaviors? Or are we just victims of our own biology...those that have better discipline are born with it.

 

Any thoughts? Please keep comments constructive. Lets turn our analysis inward for a while and see what happens. Lets apply the same process we use in markets to analyze and evaluate ourselves...I think THIS is the area where this type of process will produce higher results.

 

Anyone?

[SIUYA 11]

Short term thinking - the fact that humans desire instant gratification over long term gain.

 

OR for those otherwise inclined....

 

Its because nobody advised me to get counseling before I engaged in my self destructive behaviour - remember - I have to blame someone else other than me.

[Seeker 11]

It's a powerful and natural survival instinct that causes these things. It also applies to other animals too.

[steve46 12]

First of all I am not an amateur, having obtained an education in this area...

 

The idea that people "engage" in self destructive behaviors is (as with most things that people post here) is misleading....generally people simple LET events overtake them, OR they are unwilling to accept responsibility for behaviors that produce a negative result, because they are too lazy (pure and simple)..to do the hard work of correcting themselves...

 

The fact is that life in general is a struggle, and those of us who have made it to adulthood figure it out at the appropriate time (late teens, early 20's) and adopt an adult appropriate view of the world. The rest fall along a continuum where they may or may not possess a realistic adult view of the world, AND as a result of that immature world view, they believe (wholeheartedly) that the world "owes them" certain things.....then "when not if" the world doesn't cooperate" its NOT their fault....ITS EVERYONE ELSE.....

 

Although its not politically correct, I believe these folks should get a brisk kick in the ass (or perhaps join the military and have someone else apply a "brisk kick in the ass" to them) until they "get it"....

 

The subject is near and dear to my heart because sites like this one attract adult children like magnets (all asking the same questions over and over)...."why do so many traders (fill in the space) blah blah blah...

 

And for the person who suggests that "all animals" do this....ah no....you see in the animal kingdom, "engaging" in self destructive behavior results in their DESTRUCTION.....there is an Darwinian process that prevents that kind of behavior from continuing along a genetic line.

Edited May 22, 2013 by steve46

[steve46 12]

by the way, one of the original questions posted was "what happens in the mind" when people engage in self destructive behaviors...that one is simple

 

Its call "rationalization"...to the extent that adult children are capable of self evaluation, they DECIDE that the behavior they involved in is perfectly acceptable, even mandated by what they have "learned" or been taught (usually in their families of origin) and later on by other similar thinking adult children (in a "support group" for example).....

 

Having said that, I think one has to be sympathetic to the problems that adult children face....its not easy to make a life when you are developmentally delayed....my apologies to those for whom the shoe fits, and are truly struggling to get to adulthood....

 

Finally my comments are not meant to be a criticism of the original poster (there is no reason to do so) but are addressed to the population at large...

Edited May 22, 2013 by steve46

[Seeker 11]

First of all I am not an amateur, having obtained an education in this area...

 

The idea that people "engage" in self destructive behaviors is (as with most things that people post here) is misleading....generally people simple LET events overtake them, OR they are unwilling to accept responsibility for behaviors that produce a negative result, because they are too lazy (pure and simple)..to do the hard work of correcting themselves...

 

The fact is that life in general is a struggle, and those of us who have made it to adulthood figure it out at the appropriate time (late teens, early 20's) and adopt an adult appropriate view of the world. The rest fall along a continuum where they may or may not possess a realistic adult view of the world, AND as a result of that immature world view, they believe (wholeheartedly) that the world "owes them" certain things.....then "when not if" the world doesn't cooperate" its NOT their fault....ITS EVERYONE ELSE.....

 

Although its not politically correct, I believe these folks should get a brisk kick in the ass (or perhaps join the military and have someone else apply a "brisk kick in the ass" to them) until they "get it"....

 

The subject is near and dear to my heart because sites like this one attract adult children like magnets (all asking the same questions over and over)...."why do so many traders (fill in the space) blah blah blah...

 

And for the person who suggests that "all animals" do this....ah no....you see in the animal kingdom, "engaging" in self destructive behavior results in their DESTRUCTION.....there is an Darwinian process that prevents that kind of behavior from continuing along a genetic line.

 

 

As I see it, and most dictionaries, you're either an amateur or a professional. A professional is paid for doing it. Are you paid for psychology? If not, you are an amateur. I assumed you were a professional trader, or at least a pro vendor. Your education on the issue is irrelevant to your statement.

 

To 'correct oneself' requires that you are aware of the problem in the first place, and the majority are not. It's not about laziness. It's more likely to be in the first place down to a lack of self-awareness. There are endless research papers into the phenomenon of people being affected (due to survival instinct) in all manner of ways, including threats to just the ego, which the brain sometimes doesn't differentiate between a real life threat and just an ego threat. This research is by professionals, not amateurs.

 

There is nothing 'misleading' about people engaging in self-destructive behaviour. They do. We all know plenty who do. Nothing misleading about it. The question is why.

 

As for "the person who suggests that "all animals" do this", which person is that? If you want to refer to me, use the word Seeker, but I certainly didn't suggest ALL animals, so don't twist my words. I said it applies to other animals too, which it does. And where does this idea come from? Well applied to humans in finance it began with the research of Kahnemann, Tversky et al into Behavioural Finance, but there was also plenty of corresponding research into animal behaviour which demonstrates the same ideas - risk aversion/risky behaviour when needed/biases towards gains and losses. You see there are animal behaviours/instincts that are built in, because they are useful to our survival. You think that "Darwinian process that prevents that kind of behavior from continuing along a genetic line." You could not be more wrong, and the evidence of humans doing so clearly proves you wrong. You may wish to consider for a while, why a species that has demonstrated time after time, that it can be self-destructive has not been wiped out by the Darwinian process :rofl::rofl:

 

Siuya was correct, in that short term gain is maximised, this is an animal instinct, it is related to the survival instinct that I posted, and results in a behaviour, not just in humans. It is there for a good reason. It has proven useful over millions of years for a multitude of animals, but you apparently want to disregard it, because you know better....sigh.

 

I suggest you look into the Dunning_Kruger effect, because you suffer greatly from it,

Edited May 23, 2013 by Seeker

[MightyMouse 12]

OK all you amateur psychologists, here is a question for you to ponder. "Why do people engage in self destructive behaviors?" What makes someone do something they KNOW is destructive to them. Addiction is the first thing that comes to mind. Alcoholism, drug addiction, smoking. Why do individuals engage in these behaviors when it is proven that there are severe negative consequences to their health? Before you argue that addiction is physical, think again. Not all addictions are physical. How about those who purposely eat too much or to little. Or those that cheat on their spouses, or those who gamble?

 

Taking medication when you are not sick is bad for you. Those who are addicted to drugs, sex, gambling, tobacco, or food are self medicating because they are in pain. Mental pain.The pain is different for all those who engage in self medication. It could be as simple as being at a party and being nervous about fitting in or being accepted and grabbing a drink to loosen up or lighting a cigarette to relieve stress.

 

Now before you start to click the delete button on this subject, think for a minute, this has a direct effect on your trading. What causes you to break you discipline when you KNOW it will not turn out well? What is it inside of us that says, "...well maybe THIS time it will work...I don't do it all the time." It is the same justification I hear being used in other self destructive behaviors. "This one cigarette won't cause cancer." "I won't get diabetes from this super size." "I just drink when I'm out with friends." "I know this trade isn't according to my strategy, but I think it will work out this time."

 

I am as guilty as anyone of the above statements (accept smoking). But what happens inside the human mind when this occurs? What is it inside of each of us that causes this? I ask this because I think that for me, (and I'm willing to bet, most of us), that discipline is a significant key to success in trading, and life for that matter. Understanding and correcting this seemingly small flaw could go a long way to improving just about everything life throws at us.

 

Is there some bio-chemical reaction that occurs at the synapse level that causes this kind of thinking? Is it just a human propensity to "sin" and therefore self destruct? Are there "treatments" for improving or preventing these types of behaviors? Or are we just victims of our own biology...those that have better discipline are born with it.

 

Any thoughts? Please keep comments constructive. Lets turn our analysis inward for a while and see what happens. Lets apply the same process we use in markets to analyze and evaluate ourselves...I think THIS is the area where this type of process will produce higher results.

 

Anyone?

 

I know plenty traders, successful business people, physicians, etc who are closet alcoholics, drug addicts and are good at their chosen field. I don't see trading necessarily fitting into the same category as the aforementioned vices.

 

If someone is, perhaps, unable to stop trading in the same way as a compulsive gambler who can't stop gambling until he is broke, then I would suggest that there are unresolved issues that should be addressed. Trading, then, should be stopped immediately since at that point it is gambling and not trading.

[steve46 12]

Seeker

 

Professionals status is obtained by A) taking (and passing) a professional course of studies and B) passing a licensing test. That's state law in California....it has nothing to do with getting paid or practicing...you may want to update your understanding...or if you want to insist on maintaining a childlike point of view, you may want to hold on to your current opinion...either way not my concern.....

 

And for the rest of the crowd....my comments are my opinion...I offer it because I am entitled to do so and secondly to "activate" the adult children in the audience....I know from experience that an adult with infantile (or adolescent) self esteem will feel that the image they represent to the rest of the world is compromised, for that reason alone, they will not be able to resist commenting and attacking anyone who "pulls back the curtain".....I leave it to others to evaluate the responses that follow(ed) my post for themselves.

Edited May 23, 2013 by steve46

[steve46 12]

Taking medication when you are not sick is bad for you. Those who are addicted to drugs, sex, gambling, tobacco, or food are self medicating because they are in pain. Mental pain.The pain is different for all those who engage in self medication. It could be as simple as being at a party and being nervous about fitting in or being accepted and grabbing a drink to loosen up or lighting a cigarette to relieve stress.

 

 

 

I know plenty traders, successful business people, physicians, etc who are closet alcoholics, drug addicts and are good at their chosen field. I don't see trading necessarily fitting into the same category as the aforementioned vices.

 

If someone is, perhaps, unable to stop trading in the same way as a compulsive gambler who can't stop gambling until he is broke, then I would suggest that there are unresolved issues that should be addressed. Trading, then, should be stopped immediately since at that point it is gambling and not trading.

 

Agree with your comment about traders who are "closet alcoholics and drug addicts"...I have known several along my career path.....some very successful, some not so much....while psychologists sometimes classify these folks as functional, I think many would think them severely disabled and in a very real sense "self destructive". This is also an example of folks who usually resist attempts to help or put them on the road to recovery...if someone does find a way to help them (the judicial system for example) it is often against their will (initially at least).

[SIUYA 11]

Steve, there is a problem I see with your explanation - which i dont necessarily disagree with its ultimate result - which is about self responsibility for the consequences.

 

This problem is two fold -

Doesn't this assume that children cant accept responsibility and are self destructive.

The nature nurture debate then kicks in a bit whereby you touch on the rationalisation (which is a good point) - most behavior is learnt, and who is not to say certain 'cultural' behaviors some may see as self destructive are considered by others as perfectly normal.

 

You can also be seen as self destructive (and this is of course in the eyes of the beholder) and yet be totally aware of and accepting of the risks.

MM mentions this - I am always wary of those who declare that those fully functional people who have behaviours that we declare as destructive fit into the category of not being adults.

This reminds a little too much of the behaviour modification attempts seen in many 'we know best' societies.

 

Basically - often its completely rational and adult to adopt in some self destructive behaviour because we choose to.

[Seeker 11]

Seeker

 

Professionals status is obtained by A) taking (and passing) a professional course of studies and B) passing a licensing test. That's state law in California....it has nothing to do with getting paid or practicing...you may want to update your understanding...or if you want to insist on maintaining a childlike point of view, you may want to hold on to your current opinion...either way not my concern.....

 

And for the rest of the crowd....my comments are my opinion...I offer it because I am entitled to do so and secondly to "activate" the adult children in the audience....I know from experience that an adult with infantile (or adolescent) self esteem will feel that the image they represent to the rest of the world is compromised, for that reason alone, they will not be able to resist commenting and attacking anyone who "pulls back the curtain".....I leave it to others to evaluate the responses that follow(ed) my post for themselves.

 

I hold to the research of countless experts in the field, which ally with my own observations. Though since you say you are qualified, you may want to look into why you often feel the need to suggest others are childlike just because they have a different opinion to you or demonstrate that you are wrong. It's not just me you've accused, I've seen you do it all over the forum. You seem to have an issue with that. Pot calling kettle black I think. What is the psychological term for someone who acts a certain way (e.g. childlike) and then insists on calling others that?

 

From your initial post, aside from the snide comments directed towards me, you believe that people are self-destructive because they are lazy. Laziness is a self-destructive habit in itself. Therefore your answer essentially says people are self-destructive because they do self-destructive things. You've missed the entire point of 'why', and made a redundant point.

 

You also believe that self-destructive behaviour doesn't exist in any other animals, and attempted to correct me because you believe you can 'pull back the curtain' and reveal truths. Well there are all kinds of self-destructive behaviours. What about an ant who when the nest is attacked throws itself into the mouth of the predator facing certain death so that the nest can survive? Or a man running into a burning building to save people, or a bee stinging someone and risking its own death, or spider cannibalism? What about animal suicide? The list could go on.

 

Read here and educate yourself: Animal suicide - Wikipedia, the free encyclopedia

 

Those damn lazy animals :rofl: they need to accept responsibility and take an adult view of the world.

 

Again you fail to answer why these things are not all extinct if Darwinist evolution makes sure they don't carry on. The answer is obvious. But then you'd have to admit you were wrong.

 

You have probably also heard of the flight or fight response, when adrenalin kicks in, heart pumps faster etc. Well this survival instinct can occur from actual dangerous situations, or ego-perceived dangerous situations, like a presentation to a group of people, or could even occur in trading. This could impair ones judgement - a survival instinct with a good reason for being there that has negative consequences in some situations.

 

Why do such things remain in us, and can't simply be thought away by an adult view? Consider just how old a species you belong to, with development and evolution over such a long time and the effect that will have on us. Then consider the tiny amount (in comparison) of time that modern humans have been doing things like trading.

[Seeker 11]

Steve, there is a problem I see with your explanation - which i dont necessarily disagree with its ultimate result - which is about self responsibility for the consequences.

 

This problem is two fold -

Doesn't this assume that children cant accept responsibility and are self destructive.

The nature nurture debate then kicks in a bit whereby you touch on the rationalisation (which is a good point) - most behavior is learnt, and who is not to say certain 'cultural' behaviors some may see as self destructive are considered by others as perfectly normal.

 

You can also be seen as self destructive (and this is of course in the eyes of the beholder) and yet be totally aware of and accepting of the risks.

MM mentions this - I am always wary of those who declare that those fully functional people who have behaviours that we declare as destructive fit into the category of not being adults.

This reminds a little too much of the behaviour modification attempts seen in many 'we know best' societies.

 

Basically - often its completely rational and adult to adopt in some self destructive behaviour because we choose to.

 

Yes agreed, much of it is relative and culture dependent. And things are used in hindsight.

 

Consider a hypothetical man who doesn't take drugs/alcohol, exercises a lot, eats healthily, works hard, and dies early of a heart-attack, perhaps due to work stress. What was his self-destructive behaviour? Perhaps a glass of red wine every so often would have done his heart some good. Perhaps less exercise might have been better, or a different job would have helped. It is so individual it's hard to know for sure.

[Mysticforex 13]

Short term thinking - the fact that humans desire instant gratification over long term gain.

 

OR for those otherwise inclined....

 

Its because nobody advised me to get counseling before I engaged in my self destructive behaviour - remember - I have to blame someone else other than me.

 

This is just one answer that jumped out at me. "because nobody advised me to get counseling before I engaged in my self destructive behaviour - "

 

My shorts ( underpants ) have been a little twisted of late because I feel the GOVNT in my country feels it has to protect me from myself.

[SIUYA 11]

Yes agreed, much of it is relative and culture dependent. And things are used in hindsight.

 

............. It is so individual it's hard to know for sure.

 

other options - those high risk thrill seekers who sky dive, or do other 'reckless' ventures that some think are self destructive or reckless.

- those who due to religious or moral differences beleive the decadent non beleivers are leading self destructive, immoral way of life.

- those who participant in business venture after business venture that fail - and their friends and family are telling them to 'get a real job' - until they succeed after 20 years of trying.

- those who smoke and drink because quite frankly they like it and accept the consequences, and when they do people still look at them and tell them they have something wrong with them.

 

From the trading point of view and the original posters question - lets stick to trading.

Ultimately most of us are agreeing on the one same principle - accepting responsibility for oneself - regardless of why or where our belief comes from, and if as a trader we have what appears to be a self destructive talent maybe we should remember those wise words from Ed Seykota - "Win or lose, everybody gets what they want out of the market. Some people seem to like to lose, so they win by losing money"

[SIUYA 11]

This is just one answer that jumped out at me. "because nobody advised me to get counseling before I engaged in my self destructive behaviour - "

 

My shorts ( underpants ) have been a little twisted of late because I feel the GOVNT in my country feels it has to protect me from myself.

 

So long as you got my sarcasm

 

I was watching some woman on TV who had xxx operations for plastic surgery and booked herself into a rehab clinic, and it was telling that even though she now knows she had a problem, she realises it was her own doing etc....she still claimed that she should have been advised she should seek counselling......que lawyers.....and that the surgeons where partially to blame. Plastic surgery addict Alicia Duvall shows scars after op to remove implants | The Sun |Showbiz

:doh: - Where do you draw the line

 

I do believe the government has a role, because quite frankly humans have a tendency to not only be self destructive but also exploitative and selfish.....but that and the role of government is a whole other issue!

 

But i guess if the govt does not do it, we will find other ways of doing it - local militias, lawyers, evolution and death....but yes its largely a cost benefit analysis and the governments seems to pander to the protect us too much from stupidity crowd.

[Seeker 11]

So long as you got my sarcasm

 

I was watching some woman on TV who had xxx operations for plastic surgery and booked herself into a rehab clinic, and it was telling that even though she now knows she had a problem, she realises it was her own doing etc....she still claimed that she should have been advised she should seek counselling......que lawyers.....and that the surgeons where partially to blame. Plastic surgery addict Alicia Duvall shows scars after op to remove implants | The Sun |Showbiz

:doh: - Where do you draw the line

 

I do believe the government has a role, because quite frankly humans have a tendency to not only be self destructive but also exploitative and selfish.....but that and the role of government is a whole other issue!

 

But i guess if the govt does not do it, we will find other ways of doing it - local militias, lawyers, evolution and death....but yes its largely a cost benefit analysis and the governments seems to pander to the protect us too much from stupidity crowd.

 

I understand where you're coming from, but I'm more than a little wary of the government having any more power than it already does, or attempting to 'protect us'. I do agree with Steve on being responsible for oneself and those who depend on us.

 

If anything in my view Government should be scaled down dramatically and with less power over the individual.

[steve46 12]

This really did amuse and entertain....thanks Seeker

 

Animal suicide - Wikipedia, the free encyclopedia

 

Out of all the "countless" experts who you claim agree with you I would have thought you would choose differently but...

 

Take some time folks to review this..it will make you smile....I recommend the article at the bottom of the page about suicidal cows throwing themselves off cliffs.....

 

With the exception of TV reality shows, THIS has to be one of the most comical threads I have read here.....

 

Keep up the good work....

Edited May 25, 2013 by steve46

[SIUYA 11]

With the exception of TV reality shows, THIS has to be one of the most comical threads I have read here.....

 

Keep up the good work....

 

Imagine if self destructive people exploded!

That would sort out traders 'discipline problems' and make for very messy trading rooms

[MightyMouse 12]

Reminded me of this...................

 

 

 

 

Up until the explosion it looks like he was have a relatively good day.

[tool123 10]

my body askes for beer and cigarettes, so it must be good

[Guest OILFXPRO]

They stop trading which humans are not wired for , and set up forums , become vendors like signal sellers , trading educators , mentors , authors , software sellers etc etc etc.These trading gold rush merchants don't self destruct , cause they make money as vendors.

[Cactus Mo 10]

A subject near and dear to my heart. The most challenging aspect of trading in my opinion. The underlining issue is "Discipline." To be successful as a trader, discipline is key. Now that all post points out the behaviors, how about exploring some solutions? I read all post expecting to find some useful, practical information. So far, none. Here is a solution, Automated trading. Given a high degree of confidence in your strategy, but lack of discipline, an automated trading system will surely test if it is your strategy or discipline that is limiting your success as a trader. Any feedback on possible solutions is most welcome and appreciated.

[Rande Howell 10]

Self destructive behavior in a particular domain, say trading, can be an initially positive behavior learned in another domain and time. This is called secondary gain. Avoidance of uncertainty (avoidance of threat) is a mandate for our brain's survival biases. Even attacking the "cause" of the uncertainty and threat is a deeply burned into DNA because of its success over countless generations. When the attach or avoid motivations of an emotion do create success (removal of threat) the behavior is considered a success to the prime directive of survival.

 

After many reps of avoiding or attacking perceived threats in one domain (saying believing a saber tooth tiger is behind the bush) and wiring that learning into a highly charged circuit in the brain, the trader takes that learning into trading where uncertainty has to be managed by higher order thinking. Without training, the brain is going to reactively perceive the uncertainty of outcomes found in trading as a threat to be avoided or attacked. Not being able to pull the trigger when all conditions are meet is a form of learned avoidance. Revenge trading, in particular, is a form of attack motivation the brain has learned where the brain is attempting to attack the perceived threat. And when in full impulse, it is highly self destructive.

 

After a trader has been burned a few times by emotional hijackings like these, a new condition arises where the amygdala (fear based reactive thinking) does not trust the thinking brain to manage the situation, and boom -- the learned self destructive circuits trigger and take over again...again... and again.

 

Some traders learn to desensitive themselves over time, other continue to engage in self destructive behaviors, other get out of trading, and other choose to retrain the brain for better performance. But the brain you bring to trading (and the mind that emerges from it) is rarely the brain/mind that can manage the uncertainty and probability for success trading.

 

Rande Howell

[Feng 10]

Thanks Cactus Mo for your first post! One of the challenges of a space like TL is that we dare not get personal. So most comments are addressed to "you" or comment on what "they" do or don't do. I agree that this is no help at all.

 

So, my risk is that first-person honesty will invite attack ("you beginners always... "), so to protect myself there is, of course, writing this under an alias, and my power to ignore.

 

My benefit: I might find my own solution as I write. Or someone might share an insight from just ahead of me on this road.

 

You said: "Here is a solution, Automated trading."

 

This is exactly where I stand, today. My trading is on "pause" after yet another needless drawdown. For me, the automatic part will be around closing a position.

 

What gets in the way of my being *consistent* with this? From the past round, when I way unexpectedly up in my balance, now, reflecting back, I see how drug-like my euphoria was. So, for me, given the long hard climb back from my personal depths of despair, grief, & depression, these bursts of euphoria are like water to someone nearly dead from thirst. I soak it in.

 

But market don't give a sh*t about me, so now my high gains have turned to deep losses.

 

So, stops and limits are the next game changers for me. And part of me wants nothing to do with it. Thus, I pause as I untangle this puzzle.

 

Success in trading everyone,

Feng

[seberbach 10]

While this insight is not professional, as in "psychologist", my paid for as well as amateur work in applying genetic and other optimization algorithms to trading strategies has offered an interesting insight. While it is quite anecdotal when applied to psychology (explain, predict, control of human behavior) it is similar.

 

The context is that we accept that humans have optimized themselves in certain ways using genetic algorithms as part of their methods of self-development, "learning", or evolution.

 

Another element of context is that it is commonly accepted that evolutionary optimizing algorithms should be constrained to be "robust", meaning that variance of parameter values should minimally cause "fitness" to drop precipitously.

 

I have made the observation that optimization of trading strategies, which software can be written to do, and traders of all stripes have done by playing the trading game since they first traded in love, war, commerce, politics or religion, etc. causes an observable effect.

 

That effect is that optimizing the aggregation of maximum profit in the shortest time, (instant gratification?) particularly with too complex a parameter set, not only invites a reversal of fortune in a very short time in the future, but in observing a map of profit versus location in parameter space we often observe that maximum profits are a very short "distance" from maximum losses. The implication is that "trying too hard" will bring one to a point of being closer to danger of making a small mistake. That closeness of the best and the worst may be the result of over optimizing by either a digital computer algorithm or a biological computer algorithm.

 

I have found (statistically, analytically) that applying constraints (moderation) to the digital computing case and using fitness goals balanced over many dimensions (a well defined comprehensive trading plan comes to mind) helps prevent trading strategies from self destructing. Those disciplines may also help prevent people from "self-destructing".

 

I certainly am not a thoroughly studied expert on this, but I think it is a doorway to much future study and enlightenment. My own observations are just a discovery of great (to me) interest which I do not see much written about as yet (concerning trading strategy design capability in retail trading software) compared to what I think might remain yet to be discovered when it is pursued further.

 

This may not apply to all kinds of optimizations, but I do believe it applies to adaptive chaotic competitive survival game scenarios like "real life" in many of its amazing varieties as well as in trading in the markets.

 

To excel in achievement can involve a cost of greater risk of (self) destruction. To excel moderately in many dimensions can be less costly risk-wise than being top alpha dog in primarily one way such as rapid gains of monetary wealth. When people grow older and more experienced, they often grow to understand this better. Additionally, as people grow in experience, their perception of the time dimension changes, and they have a longer term viewpoint (historical data in memory) about optimizing present and future gratification and quality of life in more ways than when they were younger.