random walk theory


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Related to random walk theory: Efficient market hypothesis

random walk theory

n
(Stock Exchange) stock exchange the theory that the future movement of share prices does not reflect past movements and therefore will not follow a discernible pattern
References in periodicals archive ?
The random walk theory was first brought to light by the discrete approach of Einstein-Smoluchowski, and it consists in treating Brownian motion as a discrete random walk.
There are two major market prediction theories; Efficient Market Hypothesis (EMH) and Random Walk Theory.
In this guide Hebner helps readers understand 10 key concepts including The Random Walk Theory Skill or Luck Returns from the Risk of Capitalism Rank Highest Small Value versus Large Growth and more.