what is market inefficiency - page 3

 
IURII PAVLOV:
can we then say that the more inefficient the market, the easier it is to recognise a pattern of movement?

maybe, maybe...

maybe the more inefficient the schedule, the easier it is to find patterns with your eyes.

 

Efficiency is theachievement of a particular outcome at the lowest possible cost, or obtaining the highest possible output from a given amount of resources.

The flip side is inefficiency.

Apply to the market.

There are instruments with little price change over time, spreads and commissions are large. Such a market will be ineffective. Because the conditionof effectiveness is not fulfilled.It is simply impossible to earn on it.

 
All right, but exactly the opposite.
 
Алексей Тарабанов:
Everything is right, but exactly the opposite.

I don't care.

 
And that is invariance.
 
Explained on my fingers. But there's always something that someone doesn't like. I don't care about that.
 
Uladzimir Izerski:
I've explained it on my fingers. But there's always something that someone doesn't like. I don't care about that.

There is a market and there is me. If I earn, the market is inefficient because it loses. And vice versa.

Quite a controversial theory. It implies a direct confrontation between the trader and the market, which is not the case.

 

here's arguing....

efficiency comes from the word effect.

the market has an effect on trading?

for a trader the opposite is true, he is looking for inefficiencies.

 
Renat Akhtyamov:

here's arguing....

efficiency comes from the word effect.

the market has an effect on trading?

For a trader it's the opposite, he's looking for inefficiency.

Renat, the theory is flawed. You don't need to fight the market, you need to track it and make money from it. The market does not make money on me. It doesn't care who does.

 
Алексей Тарабанов:

Renat, the theory is flawed. You don't have to fight the market, you have to monitor it and make money from it. The market doesn't make money on me. It doesn't care who does.

You mean forex?