Mean reversion

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Mean reversion

The idea that stock prices revert to a long term level. Hence, if there is a shock in prices (unexpected jump, either up or down), prices will return or revert eventually to the level before the shock. The time it takes to revert is often referred to as the time to reversion. If the process is very persistent, it might take a long time to revert to the mean. The key difference between a mean-reverting process and a random_walk is that after the shock, the random_walk price process does not return to the old level.

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Contrarian Random Walk Random walk with drift reversion			Mayorista MBIA, Inc. MBO MBS Clearing Corporation MBS depository MBS servicing MBSCC MC McCain-Feingold Act McCarran-Ferguson Act McClellan Oscillator McClellan Summation Index McCulloch v. Maryland MCF McFadden Act McMansion MD MDA MDL Me-Too Product Me-Too Response Meals and Entertainment Expense mean Mean of the sample Mean Return Mean reversion mean term Mean-Variance Analysis Mean-variance criterion Mean-variance efficient portfolio meander line Measurement Error Measurement Noise measurements measuring life Mecanisme d'assurance-depots Mecanismo do tipo Mechanical Investing mechanics' and materialmen's liens Medallion Signature Guarantee Medallion Stamp Program Media median median cut Median Market Cap Median Voter Mediano plazo mediation Mediatore Mediatore di titoli Mediazione			mean rank method Mean Rate of Isovolumic Pressure Rise Mean Rate of Locomotion Mean Reciprocal Answer Rank Mean reciprocal rank Mean Red Cell Lifespan Mean Reduced Scaled Width Mean Reference Axis Mean Relative Absolute Error Mean Relative Estimation Error Mean Renal Blood Flow Velocity Mean Renal Nerve Activity Mean Renal Perfusion Pressure Mean Repair Time mean residence time Mean Residual Life Mean Residual Life Function Mean Residue Ellipticity at 222 nm Mean Resolvable Temperature Mean Response Time Mean Response Times for Completed lookups Mean Restoral Time Mean return Mean Returns Mean reversion Mean reverting process Mean Right Iliac Blood Flow Mean Right Ventricular Pressure mean rise interval mean rise of tide mean river level Mean Rounds Mean Rounds Between Corrective Maintenance Actions Mean Rounds between Failure Mean Rounds Between Stoppables Mean Sac Diameter Mean Scheduled Maintenance Time Mean sea level Mean sea level Mean sea level Mean Sea Level Altitude Mean Sea Level Datum Mean Sea Level Pressure Mean Sea Level Pressure Mean Sea Level Pressure Mean Sea Level Pressure mean sea levels mean sea levels Mean Sea Surface Heights Mean sea-level Mean sea-level Mean Seated Systolic Blood Pressure Mean Service Restoration Time Mean Shipment and Returning Mean Shortest Distance

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