Buy low, sell high

We consider online trading in a single security with the objective of getting rich when its price ever exhibits a large upcrossing, without risking bankruptcy. We investigate payoff guarantees that are expressed in terms of the extremity of the upcrossings. We obtain an exact and elegant characterisation of the guarantees that can be achieved. Moreover, we derive a simple canonical strategy for each attainable guarantee

Fundamental Limits to Nonlinear Energy Harvesting

Linear and nonlinear vibration energy harvesting has been the focus of considerable research in recent years. However, fundamental limits on the harvestable energy of a harvester subjected to an arbitrary excitation force and different constraints is not yet fully understood. Understanding these limits is not only essential for an assessment of the technology potential, but it also provides a broader perspective on the current harvesting mechanisms and guidance in their improvement. Here, we derive the fundamental limits on the output power of an ideal energy harvester for arbitrary excitation waveforms and build on the current analysis framework for the simple computation of this limit for more sophisticated setups. We show that the optimal harvester maximizes the harvested energy through a mechanical analog of a buy-low-sell-high strategy. We also propose a nonresonant passive latch-assisted harvester to realize this strategy for an effective harvesting. It is shown that the proposed harvester harvests energy more effectively than its linear and bistable counterparts over a wider range of excitation frequencies and amplitudes. The buy-low-sell-high strategy also reveals why the conventional bistable harvester works well at low-frequency excitation

Buy low, sell high, get in now: Low-stakes/low-investment information literacy initiatives pay off big

Become familiar with the concept of low stakes/low investment information literacy initiatives in order to communicate their potential value to faculty members, other librarians, and administrators. Recognize how collaboration between your library and other entities on campus can reinforce information literacy initiatives in order to draw upon the strengths and shared values of existing programs. Learn about successful initiatives in order to generate ideas that would be useful for your institution

Do investors trade too much?:A laboratory experiment

We run an experiment to investigate the emergence of excess and synchronised trading activity leading to market crashes. Although the environment clearly favours a buy-and-hold strategy, we observe that subjects trade too much, which is detrimental to their wealth given the implemented market impact (known to them). We find that preference for risk leads to higher activity rates and that price expectations are fully consistent with subjects\u2019 actions. In particular, trading subjects try to make profits by playing a buy low, sell high strategy. Finally, we do not detect crashes driven by collective panic, but rather a weak but significant synchronisation of buy activity

Speculative Trading, Prospect Theory and Transaction Costs

A speculative agent with Prospect Theory preference chooses the optimal time to purchase and then to sell an indivisible risky asset to maximize the expected utility of the round-trip profit net of transaction costs. The optimization problem is formulated as a sequential optimal stopping problem and we provide a complete characterization of the solution. Depending on the preference and market parameters, the optimal strategy can be ``buy and hold'', ``buy low sell high'', ``buy high sell higher'' or ``no trading''. Behavioral preference and market friction interact in a subtle way which yields surprising implications on the agent's trading patterns. For example, increasing the market entry fee does not necessarily curb speculative trading, but instead it may induce a higher reference point under which the agent becomes more risk-seeking and in turn is more likely to trade

PRICE BEHAVIOR IN EMERGING STOCK MARKETS: CASES OF POLAND AND SLOVAKIA

This paper analyzes serial correlation in stock returns, and informational role of volume and volatility in Polish and Slovakian stock markets. Results indicate that prices tend to overshoot to new information in the Slovakian market, while new information gets impounded into prices with a one-day lag in the Polish market. In the context of feedback trading models, the Slovakian stock market seems to be dominated by traders who sell high and buy low, while stop-loss or distress selling type traders prevail in the Polish market. Traders became more sophisticated over time, as market efficiencies increased. Informational role of volume and volatility appears to be consistent with that found in developed stock markets.Financial Economics,