In some cases I see otherwise stable stocks or commodities having wild swings in price on exchanges. Even though the underlying company or commodity is going along normally and there is no news that the item is anything but stable, traders might be wildly buying or selling causing the market price to fluctuate. This seems to happen more often when an item or stock is the subject of public interest, so there might be an element of "mob psychology" involved.

Are there any standardized models that have attempted to capture the psychological elements of trading?



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