Random walk?
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Thread: Random walk?

  1. #1
    Join Date
    May 2006

    Default Random walk?

    I've often heard about the Random Walk theory in investing, which basically states that you'd have as good a shot on Wall Street by throwing a dart at the financials pages as you would by researching, going to expensive brokers, etc.

    It seems that currency trading might suffer from less of that than commercial trading. I would imagine that foreign currency trading involves understanding the political climates on the regions at question. In other words, it seems that currency trading would be less random than trading companies.

    Is this fair, or am I off the mark?


  2. #2
    Join Date
    Apr 2006
    You are partially right. Markets are man-made, man regulated. Nothing is random, nothing.

  3. #3
    Join Date
    May 2006
    to add to that, Michael,

    there is nothing in this world that is constant except change ...

    and it pays to stay tuned ...

  4. #4
    Join Date
    Apr 2006
    Yep, you just have to be prepared for that change.

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