IQ and Trading

Discussion in 'Psychology' started by Daal, May 16, 2005.

  1. Daal


    Did anyone have any data finding correlations between IQ and trading results?
    I'm sure there must SOME level of influence(most likely negative but maybe positive).
    In system development it may be a positive, anyone have data on this?
  2. i'd like to see data IQ of people that ask about "IQ & trading" data
  3. Choad


    There is a ton of evidence that having a high IQ is not necessary for trading...just look at the average ET member!!! :D
  4. kubilai


    EQ > IQ, in trading and in life.
  5. dfishkin


    IQ would be irrelevant because you don't need to be intelligent in every aspect of life to trade. In fact, you don't have to be intelligent at all. But generally, you only need to be able to read charts, which may require some mathematical knowledge, to trade. You can still have a very low IQ due to lack of inteligence in other areas.
  6. jem


    eq was invented to make people happy that have low IQ.

    personally I would like to max out in both. But as far as trading goes.

    If you got a good edge you do not need brains.
  7. 40Deuce


    100% agree
  8. Daal


    I wounld say it was invented, but I agree that some people use that argument to compensate their low IQ. And I dont have high IQ either but I dont try to hide that fact and pretend high IQ is worthless, because it isnt
  9. Porbably helpful.

  10. kubilai


    Of course everyone would love to have good IQ and good EQ. All I was trying to say is that between good IQ/average EQ and good EQ/average IQ I'd prefer the later for trading.

    Good IQ allows you to find an edge faster, perhaps. Good EQ may do that too, because the only edge is the psychology of the guy you're trading against (I think). Good EQ also helps you figure out what voices in your head are just your ego talking, and what you should listen to. It helps to keep you sticking to your plan, and stay in the business long enough to figure out an edge.

    At least, the two has to be balanced in some way. I'd hate to have a lot of IQ, but not enough EQ to keep the IQ working for me.
    #10     May 16, 2005