Law 3: Effort vs. Result Quiz
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Questions and Answers

What principle is used to determine the expectations of price movements in this context?

  • Harmony & Divergence (correct)
  • Stability & Transition
  • Balance & Convergence
  • Flow & Resistance
  • What are the two possible outcomes regarding the price trend discussed?

  • Reverse or Stop
  • Reverse or Continue (correct)
  • Continue or Halt
  • Expand or Contract
  • Which statement reflects a potential expectation based on the principle of Harmony & Divergence?

  • The trend is guaranteed to decrease.
  • The trend will most certainly reverse.
  • The trend can either reverse or continue higher. (correct)
  • The trend is likely to become stagnant.
  • In the context of price movements, which term is associated with a shift towards lower prices?

    <p>Reversal</p> Signup and view all the answers

    Which option best describes the analysis of ongoing price trends?

    <p>Analysis involves probabilities of continuation or reversal.</p> Signup and view all the answers

    Study Notes

    Law 3: Effort vs. Result

    • Examining a chart for a possible price trend reversal using principles of Harmony and Divergence
    • The uptrend is being analyzed to determine if it will continue higher or reverse and move lower.
    • Based on the chart, the user is asked to choose between two options: "Reverse" or "Continue".

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    Description

    Test your understanding of price trend reversals using Harmony and Divergence principles. Analyze the provided chart and decide if the uptrend will continue or reverse. Choose wisely between 'Reverse' or 'Continue'.

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