Dick, Christian D.; Menkhoff, Lukas - In: Journal of Economic Dynamics and Control 37 (2013) 7, pp. 1362-1383
This paper provides novel evidence on exchange rate expectations of both chartists and fundamentalists separately … professionals' expectations vary considerably as they generally follow strong exchange rate trends. In line with non-linear exchange … rate-modeling, professionals expect mean reversion only if exchange rates deviate strongly from PPP. Chartists survive in …