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The Upanishads constitute the concluding portions or the summary of Vedas. Hence they are called Vedanta (end of Veda). Upanishads laid the foundation for various philosophical systems that developed in India. The three most famous Vedanta systems still prevalent in India are Advaita, Dvaita and Vishishtaadvaita, which had borrowed the ideologies from the important Upanishads. Upanishads are key texts that helped to develop and grow Samakya, Yoga, Mimamsa, Buddhism, and Jainism. Bhagavat Gita explains the ideas that are mentioned in Upanishads. The Upanishads do not advocate any one single doctrine. The Upanishadic seers were the foremost in their age in the philosophical reflection in the general and psychological reflection in particular. One can find similarities when comparing the psychological ideas of the Upanishads to the Western theories. Upanishads talk about the theory of consciousness, Humanistic theory, Existential and Logo therapies, Positive Psychology, and even Abnormal Psychology. This paper analyzes various Upanishadic scriptures and explains the above mentioned psychological concepts hidden in Upanishad texts.