the foreign exchange market: Further evidence

exchange rates implies inefficiency in those markets. Finally, there are instances where the first-order trading. Feedback trading can either be positive or negative and each type presents some Economic Modelling 22 (2005) 811–827 www.elsevier.com/locate/econbase * Tel.: +1 203 254 4000x3273.autoregressive parameter is positive and statistically significant in the exchange rates of both industrial and emerging economies but not in the Euro. For the latter currency, lack of asymmetric behavior and feedback trading implies a credible currency in the eyes of foreign exchange traders. D 2005 Published by Elsevier B.V. 1