noise trader

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English

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Etymology

Derived from the financial definition of noise, formally defined in a 1986 paper by Fischer Black as "[n]oise in the sense of a large number of small events is often a cause factor much more powerful than a small number of large events can be."[1]

Noun

noise trader (plural noise traders)

  1. (finance) One who trades financial products (such as stocks) not based on fundamental analysis.

References

  1. ^ Fischer Black (1985 December 20) “Noise”, in The Journal of Finance, volume 41, number 3, →JSTOR, retrieved 19 May 2009, pages 529–543.

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