Highs and lows: a behavioural and technical analysis

Bruce Mizrach () and Susan Weerts

Applied Financial Economics, 2009, vol. 19, issue 10, pages 767-777

Abstract: We find that turnover rises on n-day highs and lows and is an increasing function of n. We offer several explanations from the technical and behavioural finance literature for why traders might use these signals. Turnover is persistent following these events, and new lows provide abnormal returns for up to 6 trading days. 'Technical analysis is about as useful as going to a fortuneteller, as far as I'm concerned. There is simply no evidence that these patterns mean anything…'1 (Burton Malkiel, 2003).

Date: 2009

Downloads: (external link)
http://www.informaworld.com/openurl?genre=article& ... 40C6AD35DC6213A474B5 (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Highs and Lows: A Behavioral and Technical Analysis (2006)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:taf:apfiec:v:19:y:2009:i:10:p:767-777

Ordering information: This journal article can be ordered from
http://www.tandf.co.uk/journals/subscription.html

Access Statistics for this article

Applied Financial Economics is edited by Mark P. Taylor

More articles in Applied Financial Economics from Taylor and Francis Journals
Series data maintained by Christopher F. Baum ().