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As I said, this does not apply to monetary assets, which don't have returns or expected future returns, like gold or bitcoin. In addition, these assets do not c
by Geee 2y ago
As I said, this does not apply to monetary assets, which don't have returns or expected future returns, like gold or bitcoin. In addition, these assets do not change. There are no news. All we know is how the price has behaved in different market conditions, and investors try to create models based on that alone.
I didn't say that the future price could be predicted or that it is guaranteed. I just said that the historical price information should contain all the relevant information about the asset.
There is obviously fascinating history about why gold has become valuable and what fundamental properties caused it to become valuable, but it's not really relevant to investors. Same applies to Bitcoin.
- crazygringo 2y ago> There are no news... I just said that the historical price information should contain all the relevant information about the asset. No, the news is changes in supply and demand, and the factors behind those changes, and how we expect those to change in the future. Those determine the current and future prices. And those are not contained in historical price data. Historical price data is irrelevant to those. Good luck with your investing.
- Geee 2y agoThat's information about the market, not about the asset. Good luck to you too.
- karmakurtisaani 2y agoThe market defines the price, not the asset..
- Geee 2y agoThere's information about the market, like interest rates and whatever is happening in politics and how the economy is doing. Then there is information about assets, which might change or not change. Gold and bitcoin react to information about the market, because these assets don't really change.