In some cases, herding behavior is beneficial. For example, a novice or uninformed investor can benefit from others' due diligence and research. A novice trader can also take advantage of the herd instinct to cut losses early since it is often in their best interest to sell with the crowd rather than risk holding on for too long. Additionally, some herding behaviors can be truthful and shed insight on products and services you may be interested in. It’s important to analyze your own needs and wants, but using the opinions of others can be a helpful viewpoint in your research.