The psychology part applies to regular folks that owns a very small % of the stock market. Most shares are not traded by individual traders, but big funds and institutions.

Conventional wisdom is out the door for some surging stocks as online hordes are bringing back meme stock mania.

The collapse of this stock, beginning in June, took it from the very top of its channel to the very bottom. We're below the 50-day moving average, but not yet close to the 200-day moving average.

Oyeniyi, L. D., & Ugochukwu, C. E. (2024). Analyzing the impact of algorithmic trading on stock market behavior: A comprehensive review. Semantic Scholar Research Report.

I think the psychology is rotten right now. And the normally, you do get the sell-offs. You do get the capitulation when you sort of get peak you know, rottenness in sentiment.

The U.S. stock market miracle totalled north of $50 trillion before this situation. 25% of that has gone poof! Even at this stage, that’s an economic disaster.

Market Snapshot ‘The psychology has changed so quickly’: Why stock-market lows may be retested as S&P 500 enters its weakest stretch of year ‘The September-October period definitely gets ...