Momentum hypothesis

Stocks that have had an above-average increase in performance in earlier periods will continue to outperform stocks that have suffered losses. Statistically, the momentum thesis seems to be demonstrable. There are various possible explanations for this phenomenon. Basically, it is probably an overreaction (overconfidence bias) of market participants. – See momentum, confidence, confidence hypertrophy. – Cf. Monthly Report of the Deutsche Bundesbank of September 2014, pp. 29 ff. (detailed presentation; many references).

Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent!
University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/