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Which of the Following Statements Concerning Day Traders Are Correct

question 73

Multiple Choice

Which of the following statements concerning day traders are correct?
I. Day traders generally do not hold securities over night.
II. Day trading is a relatively low risk approach to investing.
III. Some day traders sell stocks short.
IV. Day trading was declared illegal by the Market Stabilization Act of 2002.


Definitions:

State Common Law

The body of law developed through court decisions and precedent, as opposed to laws enacted by a legislative body, within a particular state.

Article 2

A portion of the Uniform Commercial Code that deals specifically with the sale of goods.

Statute

A written law passed by a legislative body at both the federal and state levels, intended to prescribe or prohibit certain actions.

UCC

Uniform Commercial Code; a comprehensive set of laws governing commercial transactions in the United States.

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