Don,
I respectfully disagree. The opinion even on the farthest ends of the spectrum affect the average price, as it has an effect on the supply and demand for the equity. You probably would not buy MU at 43, but that doesn't mean that you are not affecting the price of MU. If your money entered the market for MU equity, that would have an effect as it increases demand. Hence, the reverse holds true as lack of demand has an effect on the price, holding supply constant. OTOH, LT B&H's similarly put upward pressure on the equity price as they reduce the supply of equity available for trading.
The individual tick-by-tick movement, of course, is almost purely random, decided at the margin at the given instant.
Finally, all valuation is subjective.
-BGR. |
