Which of the Following Statements About Futures Trading Is Incorrect

question 51

Multiple Choice

Which of the following statements about futures trading is incorrect?

• A) There are no specialists on futures exchanges.
• B) All futures contracts are eligible for margin trading.
• C) Trading is halted for the day if the price reaches the daily limit.
• D) The uptick rule applies to the shorting of futures contracts.

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Definitions:

Formal Operations

The final stage in Piaget's theory of cognitive development, occurring from around age 12 onwards, where individuals develop the ability to think abstractly, logically, and systematically.

Object Existence

A cognitive development concept where an individual realizes that objects continue to exist even when they are out of sight or perception.

Stage-Like Fashion

A manner of development or progression in distinct stages or phases.

Piaget's Theory

A developmental theory created by Jean Piaget that suggests children move through four stages of cognitive development as they grow.