Predict the Market Moves Six Days in Advance
From Technology Review:
There's no shortage of people who say they know how to predict whether the stock market will go up or down on a particular day. But there are few, if any, who can do it consistently better than tossing a coin.
For many economists that's easy to explain. Conventional economic theory holds that the movement of prices in a perfect market should follow a random walk and should be impossible to predict with an accuracy greater than 50 per cent.
There's a fly in this economic ointment, however....