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Questions and Answers
Insider Trading is not possible in a market that is _______________
Insider Trading is not possible in a market that is _______________
- Weak Form Efficient
- Semi-Strong Form Efficient
- Strong Form Efficient (correct)
- None of the Above
Technical analysis should never work in a market that is _____
Technical analysis should never work in a market that is _____
- Weak Form Efficient
- Semi-Strong Form Efficient
- Strong Form Efficient
- All the Above (correct)
Which one of the following statements is correct?
Which one of the following statements is correct?
- The information set of weak-form efficient market include publicly available information.
- The information set of strong-form efficient market does NOT include private information.
- The information set of past prices is a subset of the information set of publicly available information. (correct)
- According to efficient market hypothesis, the stock prices adjust slowly to the new information.
Aerotech, an aerospace technology research firm, announced at 11:00 am this morning
that it hired the world’s most knowledgeable and prolific space researchers yesterday.
Before today Aerotech’s stock had been selling for $100. Assume that no other information
is received over the next week and the stock market as a whole does not move. Consider the
following scenarios, which one indicates strong-form market efficiency.
Aerotech, an aerospace technology research firm, announced at 11:00 am this morning that it hired the world’s most knowledgeable and prolific space researchers yesterday. Before today Aerotech’s stock had been selling for $100. Assume that no other information is received over the next week and the stock market as a whole does not move. Consider the following scenarios, which one indicates strong-form market efficiency.
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If the market is in strong form efficient, which one of the following statements is correct?
If the market is in strong form efficient, which one of the following statements is correct?
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A stock market is 'efficient' if
A stock market is 'efficient' if
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