Technical Trading And The Volatility Of Exchange Rates
Download Technical Trading And The Volatility Of Exchange Rates full books in PDF, epub, and Kindle. Read online free Technical Trading And The Volatility Of Exchange Rates ebook anywhere anytime directly on your device. Fast Download speed and no annoying ads. We cannot guarantee that every ebooks is available!
Technical Trading and the Volatility of Exchange Rates
Author | : Bernhard Herz |
Publisher | : |
Total Pages | : 37 |
Release | : 2007 |
Genre | : |
ISBN | : |
Download Technical Trading and the Volatility of Exchange Rates Book in PDF, Epub and Kindle
The microeconomic structure of foreign exchange markets can cause excessive volatility in flexible exchange rate regimes. The market entry of chartists changes the composition of the foreign exchange market and leads to excessive volatility. Our chartist model predicts a continuum of equilibria and an U-shaped relation between exchange rate volatility and the measured trend, which is supported by the empirical evidence. The data show a positive nonlinear relation between trend and volatility, as predicted by the model. In such a situation monetary policy may be able to smooth the exchange rate without changing macroeconomic fundamentals.
Technical Trading and the Volatility of Exchange Rates Related Books
Pages: 37
Pages: 31
Pages: 64
Pages: 232
Noise Trading, Central Bank Interventions, and the Informational Content of Foreign Currency Options
Pages: 258