The belief that one exerts more influence over events than one actually has. I.e, being superstitious, or OCD with a positive goal in mind. It is the belief that we can control everything around us with our minds through activity, thought, and sometimes habit.

Everyone, in some ways, has magically thought before. It's a popular activity we have used a lot in our youth. The saying "step on a crack break your mothers back" is Magical Thinking. The hope that a stop light will turn green when you drive up to it, is magical thinking. These, of course, are small examples, compared to the grand mind controlling changes magical thinking can actually some up to.

My friend is the type of person who will cross the street at a crosswalk, keeping her eyes on the WALK light. She thinks, if i make it to the other side before it starts flashing DONT WALK, I'll have a good day. Conversely, she believes that if the light changes while she's still crossing, something, "vague but definitely bad" may occur. This is the type of magical thinking that is dependent on what's happening around us. Keep in mind, sometimes it can turn into extremes, like masochism, or martyrs syndrome, because there relies the hope that something eventually rewarding will happen. But this only happens to the less fortunate who can't control their mind well enough. Some are better than others. The more positive coincidences, the more powerful of a magical thinker you are.
Hey look at steve over there, his life is going wonderfully, he must be a good at magical thinking!
by EvieJay March 26, 2013

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