I read both arguments and I and I have come to the conclusion you are both correct. However the key to market efficiency is volume and volatility. To obtain that you need the volume of daytraders balanced with the stability of long holders.
A market with no volume is an inefficient market, and intrinsic value is but a value unconfirmed by others. To create volume you need volatility, to get volatility you need a stimulus. In this scenario, stimulus is defined by the known activities of the company and the confidence to achieve goals. When both go flat, volatility does as well. Volatility is opinion. And volume chases volatility. Otherwise value in a vacuum serves no value.
There will come an inflection point where longs get a little shorter with a percentage of their position. You need day traders to help establish the market to solidify and protect that inflection point. A temporary stop from or absorbtion of the pendulum of market efficiency.
I would argue - day traders are good. Longs are better, production is the best.
A market with no volume is an inefficient market, and intrinsic value is but a value unconfirmed by others. To create volume you need volatility, to get volatility you need a stimulus. In this scenario, stimulus is defined by the known activities of the company and the confidence to achieve goals. When both go flat, volatility does as well. Volatility is opinion. And volume chases volatility. Otherwise value in a vacuum serves no value.
There will come an inflection point where longs get a little shorter with a percentage of their position. You need day traders to help establish the market to solidify and protect that inflection point. A temporary stop from or absorbtion of the pendulum of market efficiency.
I would argue - day traders are good. Longs are better, production is the best.
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