Definitions

Efficient Market Hypothesis

Posted By: TradersLog

Efficient Market Hypothesis maintains that prices move in a random fashion around the intrinsic value of the underlying asset. According to the efficient market hypothesis, the optimal trading strategy is to buy and hold, rather than trying to time market movements through technical analysis.

See also: Random Walk Theory

Enjoying our Efficient Market Hypothesis information? Sign up today and access even more! Learn More

No Comments

Categories Definitions, Trading Industry Definitions | Tags: Economics

By submitting a comment here you grant Traders Log a perpetual license to reproduce your words and name/web site in attribution. Inappropriate or irrelevant comments will be removed at an admin's discretion.

The information contained on TradersLog.com is believed to be accurate but is not guaranteed. Market data is furnished on an exchange delayed basis by Barchart.com. Data transmission or omissions shall not be made the basis for any claim, demand or cause for action. No information on the site, nor any opinion expressed, constitutes a solicitation of the purchase or sale of any futures or options contracts. TradersLog.com is not a broker, nor does it have an affiliation with any broker.

The risk of loss in trading securities, options, futures and forex can be substantial. The comments and reviews posted on TradersLog.com reflect the opinions of our readers. No warranty can be given as to the accuracy or the completeness of the comments and reviews posted by users or as to the results obtained by those using such information.

Looking for more Traders Log Information? Sign up for access to more content and updates!

Market Update

Categories

Definitions

Efficient Market Hypothesis

Posted By: TradersLog

Leave a Reply

Definitions

Trading Articles

Broker Reviews

Trading Software Reviews

Trader Tools

Contact Us