Timeline for Efficient market hypothesis
Current License: CC BY-SA 4.0
9 events
| when toggle format | what | by | license | comment | |
|---|---|---|---|---|---|
| Jul 3, 2018 at 13:11 | comment | added | Dave Harris | @victor that isn't what OP asked | |
| Jul 3, 2018 at 13:11 | comment | added | Dave Harris | @victor you are correct | |
| Jul 3, 2018 at 11:06 | comment | added | Victor | @DaveHarris - if that was the case you would not have any undervalued or overvalued stocks nor would you have any bubbles or crashes. You would just have a stable price movement which would only change as new information hits the market. | |
| Jul 3, 2018 at 11:03 | comment | added | Victor | The reason why you can find undervalued stocks is because the hypothesis does not hold. If the hypothesis did hold then all this information would be already priced into the market and you would find no undervalued or overvalued stocks. | |
| Jul 3, 2018 at 10:50 | comment | added | Victor | @Aganju - I could show you how easy it is, it has nothing to do with predicting anything but rather listening to the markets and taking appropriate action when required. Most people don't understand the market - there is a simple definition for an uptrend and a downtrend, and when each starts and ends, and understanding those definitions are very important. | |
| Jul 2, 2018 at 15:15 | comment | added | Dave Harris | You are incorrect. Regardless of whether it is correct or incorrect, the efficient market hypothesis does consider market sentiment, valuation assumptions, even the weather. Everything that is in a participants information set is in the hypothesis. | |
| Jul 2, 2018 at 14:43 | comment | added | farnsy | Essentially this answer says the efficient market hypothesis does not hold, which is explicitly not what the poster is asking. | |
| Jul 2, 2018 at 13:45 | comment | added | Aganju | I think the last sentence is very misleading, if it would be easy, people would do it all the time. It works in retrospect, but not from predictions. | |
| Jul 1, 2018 at 5:56 | history | answered | Victor | CC BY-SA 4.0 |