A New Look on Evaluation Method of Foreign Exchange Rate Forecasting Services

Abstract

With so many adverse comments on the forecating ability of leading forecasting services, a manager in one forecasting service was delighted to see his old subscriber renew the subscription. The manager delightedly said You must be impressed by our track record". The answer, however, was No, Im impressed by my track record using your forecast".

Partly influenced by extensive empirical works in the behavior of 'stock prices, which argue very convincingly that one might as well throw darts than pay unproductive consulting fees, researchers of foreign exchange forecasting

Services also generally concluded that respective services empirically could not outsmart forecasted contents in forward exchange rates.