Herding Instinct

Why do mathematical and structural relationships show up time after time in financial markets (like Fibonacci, channels, support & resistance) ? It’s because human beings are hard wired to “herd.” In eons gone by, humans did this for protection. In today’s investment markets humans herd for “protection” of their investment capital. Why did investors buy zero revenue companies during the tech bubble? Why did people stand in lines to flip condos in 2005? Why was there a mania for tulips? Humans participated in these investment manias simply because others were doing so, due to the “herding instinct.”