BarroMetrics Views: Trading and The Emerging Science of The Brain III
Let’s start by finishing Marcia Conner’s model. Yesterday I ended with the introduction of the second sequence. In the second brain time, our senses are at their peak. During the second body time will be the best time to play a musical instrument. And during the second butt time, our ability to think clearly drops. The time required to recognize danger signals is down by 50% below peak performance.
Let’s now turn to some mental strategies we can use. The second fact that neurology has highlighted is the brain’s limited ability to hold at any one time competing ideas.
They found that for simple activities, the province of the unconscious, we can hold an infinite number. Once an action or process is routine i.e. pertaining to the subconscious mind, it does not take up much energy to decide or act upon. But complex activities are a whole different ball-game.
And, no it’s not correct to say that we can hold 7 +/- 2 competing thoughts at any one time. Actually we can hold a maximum of about 4.
So, how do we deal with this?
There are three strategies we can use to deal with the issue:
- Simplify by reducing to the analysis’ core issues. I find Mindmaps invaluable for this.
- Chunk the material into groups.
- At the end of (2), , we can hold 4 thoughts at any one time (each with a chunk of more information). That’s quite a lot to handle. So it’s best if we decide early which four are most important.
I’ll conclude the series tomorrow.