15 Questions
Define stock market.
The stock market is the aggregation of buyers and sellers of stocks, representing ownership claims on businesses.
What is market capitalization?
Market capitalization refers to the total value of all publicly traded securities.
How has the total market capitalization changed from 1980 to 2020?
The total market capitalization rose from US$2.5 trillion in 1980 to US$93.7 trillion in 2020.
How many stock exchanges are there in the world?
There are 60 stock exchanges in the world.
Where are the 16 exchanges with a market capitalization of $1 trillion or more located?
The 16 exchanges with a market capitalization of $1 trillion or more are located in North America, Europe, or Asia.
What is technical analysis and what is its purpose in finance?
Technical analysis is an analysis methodology used in finance to study past market data, primarily price and volume, in order to forecast price direction. Its purpose is to help traders and investors make decisions based on historical patterns and trends.
What is the efficient-market hypothesis and how does it relate to technical analysis?
The efficient-market hypothesis states that stock market prices are essentially unpredictable. It contradicts the efficacy of technical analysis as a reliable forecasting tool.
Where did the principles of technical analysis originate from?
The principles of technical analysis are derived from hundreds of years of financial market data. Some aspects can be traced back to Joseph de la Vega's accounts of the Dutch financial markets in the 17th century.
Who is credited with developing technical analysis in Asia?
Homma Munehisa is said to have developed technical analysis in Asia during the early 18th century, which later evolved into the use of candlestick techniques.
What is candlestick charting and how is it used in technical analysis?
Candlestick charting is a technique used in technical analysis to represent price movements using candlestick-shaped visual elements. It helps traders analyze patterns and trends in order to make trading decisions.
Technical analysis is an analysis methodology for analyzing and forecasting the direction of prices through the study of past market data, primarily ______ and volume.
price
The efficacy of technical analysis is disputed by the ______, which states that stock market prices are essentially unpredictable, and research on whether technical analysis offers any benefit has produced mixed results.
efficient-market hypothesis
Some aspects of technical analysis began to appear in Amsterdam-based merchant Joseph de la Vega's accounts of the Dutch financial markets in the ______ century.
17th
In Asia, technical analysis is said to be a method developed by Homma Munehisa during the early ______ century which evolved into the use of candlestick techniques, and is today a technical analysis charting tool.
18th
The principles of technical analysis are derived from hundreds of years of financial market ______.
data
Test your knowledge of the stock market with this quiz! Learn about buying and selling stocks, ownership claims on businesses, public stock exchanges, and more. Challenge yourself and see how much you know about this important aspect of investing.
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