In modern stock markets where all participants receive information simultaneously, share prices reflect all known information, meaning that new information creates 'information shocks' causing significant price movements of 20-30%, and predicting these shocks involves logically extending patterns from past market behavior.
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When Will the Next Market Shock Hit? | Chris Reed #podcast #investment #trading追加:
So actually, even uh it's not so much a question of trying to get one step ahead of the sell side now, what you've got is a stock market where everybody gets the same information simultaneously. And so share prices are reflecting all the information that's known. So as soon as a new information comes along, you get these sort of information shocks where the shares move 20 to 30%. And actually all my job is is predicting those sort of information shocks. And actually, you know, that's not such a difficult thing to do because all you're doing really is sort of extending logically what's happened before.
So that's that's the general market environment.
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