Markets certainly do get it wrong at times but over time they right themselves. In the meantime they overshoot both sides of the middle.
However in this more sophisticated and complex market we now have I wonder if those actually selling would have preferred not to. For example many have money in Super and they panic and the guys controlling the buy sell side have to act, irrespective of their sentiment. Also at one stage calls on margin loans caused selling. I know I had to sell stocks because of a call. I would not have sold otherwise. The good side of all of this is that for the brave and risk takers, the sell offs provide profitable opportunities. So I hope you bought at 9 c. I have profited greatly from sell offs of otherwise good companies. Takes courage to buy when everyone is selling.
