Noise(redirected from Noise floor)
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Price and volume fluctuations that can confuse interpretation of market direction. Used in the context of general equities. Stock market activity caused by program trades, dividend rolls, and other phenomena not reflective of general sentiment. Antithesis of real.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.
A slight uptick or downtick in a security's or market's price and/or volume representing little or no actual change in its fundamentals. Noise occurs in the short-term; if noise continues in a certain direction, it becomes a trend, and, therefore, an indication of the general direction of the security or market. Noise, on the other hand, means little or nothing.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
Random market fluctuations that make it difficult to forecast the market's direction.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.