FOMO (Fear of Missing Out)

FOMO is the impulse to enter a trade — usually late, after a big move has already happened — purely out of fear of missing further gains, rather than because it fits a planned setup. It typically results in chasing price at a poor entry, right before a pullback or reversal, since the move that triggered the FOMO is often already extended. FOMO is a psychological bias best managed structurally: sticking to pre-defined entry criteria makes it much harder to justify chasing a trade that doesn't actually meet them.