Talk:Random walk hypothesis

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[edit] Repetitive sections

Please note that the sections "A non-random walk hypothesis" and "Random walk hypothesis vs. market trends" essentially repeat each other, and should be merged. Askari Mark (Talk) 05:04, 1 February 2007 (UTC)

[edit] Some comments and questions

1. How has it been shown that the financial markets are a random walk? Was there a study done that showed no correlation between past and future price movement?

2. I'd like some clarification of the hypothesis: does it refer only to the unpredictability of a single subsequent price from the immediately preceding one? What about price X time steps into the future?

3. A comment on "Testing the Hypothesis:" The first example (coin toss) is surely not a test of the hypothesis. It is only a test of the "chartist," it says nothing about financial markets.

Mwtzz (talk) 20:49, 8 January 2008 (UTC)