In our daily lives, our decisions are formulated under a state of uncertainty in different settings. For example, deciding what to buy, when to say YES or NO, and when to let go.
For active traders, they are constantly making decisions on choices about; what to trade, how to trade and when to trade.
The most challenging part for active traders is how to make good choices within a limited timeframe.
Identifying what stock to buy and at what price to enter a trade needs some catalysts that influence the decisions you go by.
In a recent study by Benzinga data team, the team gave their active traders a chance to reveal the most things that influence their 2020 trading decisions.
According to the study findings, 39.1% of their trading decisions are being influenced by Economic events, 23.2% by Financial data releases, 32.9% by Technical analysis and 4.8% of the decisions are being influenced by Broker education.
Financial data releases
The study was conducted on over 400 adults’ active traders.
The respondents who participated in the survey were recruited voluntarily, there were no incentives offered to them.
Moreover, the study revealed that, Economic events (39.1%) and Technical analysis (32.9%) were the two most factors that influenced how and when traders make decisions in the month of September.
Broker education (4.8%) was the least influential factor in trading decisions according to the poll’s rankings.
One in four of Benzinga active traders see financial data releases as the most influential vehicle in their decision-making.
The survey further revealed that educational tools that brokers provide are sometimes not the most influential decision-making vehicles for traders.