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RabbiJacob's avatar

#5 is a bit strange wrt stock price forcasting, I have always heard, highway to hell but stairway to heaven. Elevator down and stairway up.

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RabbiJacob's avatar

Also how do you marry reversion to the mean with powerlaws? Months ago you talked about a paper that showed how only a tiny percentage of all listed stocks outperform. As in my question is do you take the mean of that powerlaw or what sort of distribution do you use?

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