Stock market forces can be modeled with a quantum harmonic oscillator
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Re: Stock market forces can be modeled with a quantum harmonic oscillator
#2> a good approximation of the market force that restores a fluctuating stock return to equilibrium
Are we talking mean reversion here? A mathy example would be nice :-)
Re: Stock market forces can be modeled with a quantum harmonic oscillator
#3"> modeling a particular market force that has been difficult to capture in previous models. Empirical evidence shows that, when a stock return is fluctuating in the short term, there exists a market force that draws the fluctuating stock return back to its long-run equilibrium. This force is related to the concept of mean reversion, which is the tendency of a stock to return to its average price."
Talk of "market forces" and the like fall into the quantum voodoo school of economics, IMHO.
Re: Stock market forces can be modeled with a quantum harmonic oscillator
#4"> modeling a particular market force that has been difficult to capture in previous models. Empirical evidence shows that, when a stock return is fluctuating in the short term, there exists a market force that draws the fluctuating stock return back to its long-run equilibrium. This force is related to the concept of mean reversion, which is the tendency of a stock to return to its average price." Talk of "market fo…
wait, is that right:
> the tendency of a stock to return to its average price
return to its historical average? As applied to all stocks, or certain, particular, mean-reverting stocks?