Nothing around you is certain. People walk swiftly to their cars with keys in hand and take an entire two minutes to open the doors. They probably thought they would get it right in ten seconds. Some wake up and walk to the bus stop to get a bus to work. There is a certain expectation that they will get a bus on time and get to work on time. Truth is, sometimes the buses come full or the traffic starts early. We don’t know for sure whether our assumptions about the future are precisely correct, we just apply.
The same scheme of behavior works for greater systems such as the stock exchange. Some companies come on strong on their first day in the market with a legion of investors reaching out for a piece of the juicy IPO share pie. No one is quite sure that the prices will ascend but they still apply for it. And sure enough there have been enough cases where these bullish traders record losses after a year of holding on to their stocks.