Have you ever noticed that it hurts much more to lose a thousand kroner than it is fun to find them? In psychology, this is called loss aversion. Research shows that the pain of losing money is twice as strong as the joy of winning the exact same amount.
In the stock market, this fear causes us to do illogical things. When a stock plunges, many investors refuse to sell, because a sale means the loss becomes reality. They would rather hold onto the losing stock and hope for a miracle, while their money could have worked much harder in a better company.
Loss aversion is closely tied to pride. Pressing the sell button with red numbers flashing on the screen is the same as admitting that you were wrong. For many, it is easier to just close their eyes and delete the trading app.