When Sentiment Flips Before the Evidence

IM7 Intelligence · Aug 8, 2026 · 1m

A strong candle can change how traders feel almost instantly.But did the evidence change just as quickly?In this episode of IM7 Intelligence, we explore the gap between market sentiment and structural confirmation—and why that gap can produce dangerous levels of conviction.We break down how recency bias, FOMO, confirmation bias, herd behavior, and commitment bias can turn a price reaction into a belief before the market has actually confirmed a durable change.The lesson isn't to ignore sentiment.It's to stop treating sentiment as confirmation.Ask yourself:Did the evidence improve as quickly…