A facet of technical analysis that looks to the past rate of return of a bond, stock, security, index, or fund to predict possible future data points within the standard deviations. Historical returns may also be used by analysts to predict future price returns or to determine how a security may react in a particular situation, such as a decline in buying. They’re generally associated with a security or index, like the S&P 500.
We don't know everything about the markets. We're just devoted to learners. Taken from those smarter than ourselves, here's how we define Historical Returns.