Cold reading is a perception technique which uses logic, rationality, probability assessment and small testing actions. Unfortunately, cold reading is often used for purposes of deception or manipulation.
The theory behind cold reading is often used as a rational explanation for psychic experiences. This is not false; however, it is quite incomplete.
To use an analogy, cold reading is the tip of the iceberg of psychic experiences. Conscious study of cold reading techniques can be a good way to start becoming psychic, but there is much more to it.
Cold reading techniques use conscious perception and require analytic thinking. An advanced psychic also uses subconscious perception and synthetic thinking - hopefully in a balanced fashion.
It may be misleading to call a cold reader 'psychic' - depending on the situation, 'psychologist' or 'social engineer' might be more fitting terms.
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