I know a little bit about stocks and I’ve been trading for years now. But one thing that is frustrating for an investor/trader is seeing a positive movement in a certain direction one day due to news or New information being brought into the market, and then to have all the aforementioned gains wiped out on no new news The next day or the next couple days
I’ve had the displeasure of owning NASDAQ weighted stocks with some dividend stocks as well, and the market went up quite a bit yesterday maybe just due to an easing volatility from the numbers just coming out. And then for all the gains got wiped out today.
Now EMP states at whatever level you believe it and that new information is very efficiently priced into the price of a security. So just like with an earnings report, The market is unlikely to change its consensus on a certain piece of information as that information is accurately represented into the price of the security or the market.
Why does this seldom happen post mar2020? If there is a lack of new information being represented into the market shouldn’t the price of the security be relatively flat/Stable since the last piece of information was introduced?
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