05/19/11 - Is It Possible to Have Panic Buying?
"Panic selling" is easy to understand and recognize: Investors rush to sell from the fear of loss. No more explanation necessary. On the other hand, "panic buying" is not easy to see for what it is. The phrase seems to clash with itself. People commonly assume that "buying" involves rational choices by investors, who assess risk, calculate entry points, establish stops, etc. None of that happens in a panic. So how can you have "panic buying"? Read more.
