Offer your thoughts or opinion on the input financial query or topic using your financial background.

What does it mean that stocks are “memoryless”?
It means price movements in the past do not affect price movements in the future. Think of the situation of a coin, if you flip it once, and then you flip it a second time, the results are independent of each other. If the first time, you flipped a HEAD, it does not mean that the coin will remember it, and produce a TAIL the second time. This is the meaning of "memoryless". FYI, stock markets are clearly not memoryless. It is just an assumption for academic purposes.