If You Believe in the Reversal Effect, You Should

question 61

Multiple Choice

If you believe in the reversal effect, you should

• A) sell bonds in this period if you held stocks in the last period.
• B) sell stocks in this period if you held bonds in the last period.
• C) sell stocks this period that performed well last period.
• D) go long.
• E) sell stocks this period that performed well last period and go long.

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