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from VTX Capital

The Efficient Market Hypothesis and how it Impacts Trading

3 major points of view, and 3 vastly different ideas of how the stock market works. Which do you think is right?

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Efficient Market Hypothesis and its types EMH (Efficient Market Hypothesis) elaborates that all relevant information is fully and immediately reflected in market price of a security where an investor will receive stable rate of return. In other words an investor should not expect to earn an abnormal return (above the market return) through either technical analysis or fundamental analysis. The efficient market hypothesis (EMH) implies that if new information is revealed about a firm it will…

Levels of Market Efficiency / EMH Economists have defined different levels of efficiency according to the type of information which is reflected in prices. To understand what is efficient market . First I recommend you to read EFFICIENT MARKET HYPOTHESIS AND ITS TYPES . There are three levels of market efficiencies they are discussed below: Weak-form efficiency In this form of market the share prices fully reflect all information contained in past price movements. It is pointless to…

from NYTimes.com

How Our Taxi Article Happened to Undercut the Efficient Market Hypothesis

How Our Taxi Article Happened to Undercut the Efficient Market Hypothesis - NYTimes.com Or How assymetric information multiplies distrust

Efficient Market Hypothesis in 2 Easy Steps: What is Efficient Market Hypothesis Lecture EMH - YouTube