Lesson 3: How predictable are the markets?

The financial media loves to tell us which way the markets are heading and spot the 'hot tips' they reckon the other pundits have missed. But just how good are they at getting it right? Is it possible to forecast market falls or rises at any one point in time? Or are they inherently unpredictable? 

Watch the next lesson: What is the stock market and how does it work? 

Watch the previous lesson: What is risk?