Any consistent predictable trend in the same direction as the price change would be evidence of an efficient market.

Question

Quizplus · Accepted Answer

If there is a consistent predictable trend in the same direction as the price change, it would be evidence of an inefficient market. This is because in an efficient market, all relevant information is already reflected in the price and there should not be any consistent predictable trends.

Any Consistent Predictable Trend in the Same Direction as the Price