Management Analysis Journal
Vol 11 No 2 (2022): Management Analysis Journal

Market Overreaction and Price Reversal in Indonesian Stock Exchange

Kris Brantas Abiprayu (Universitas Negeri Semarang)
Ascariena Rafinda (Department of Management, Faculty of Economics, Universitas Negeri Semarang)
Bayu Wiratama (Department of Management, Faculty of Economics, Universitas Negeri Semarang)



Article Info

Publish Date
30 Jun 2022

Abstract

Capital market is a market that all prices that occur should be caused because the market mechanism that has been in such a way able to respond to all the information that exists automatically. Such a market is a market that conforms to the concept of an efficient market. In an efficient market, market participants or investors, will not be able to gain an edge over other investors in terms of investment decisions based on the information they get. The market efficiently assumes that the information that is in the market can be accessed by all actors. In fact, many anomalies occur in the market that break through all assumptions built by the concept of an efficient market, one is the phenomenon of price reversal. Price reversal is a phenomenon in which the price of a stock instrument that suddenly experiences a price reversal because there is information that enters the market and is responded to excessively (overreaction) by the market. Research uses quantitative paradigms to prove a particular hypothesis built into research. The data used is secondary data obtained using stock transaction data as well as financial statement data of each sample company.

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Journal Info

Abbrev

maj

Publisher

Subject

Decision Sciences, Operations Research & Management

Description

Management Analysis Journal (MAJ) is an open-access electronic journal focusing on scientific work on the field of business. This journal applies the theory developed from business research and connects it to actual business situations. The articles within this journal are published quarterly ...