Two Basic Assumptions of Technical Analysis Are That Security Prices

question 14

Multiple Choice

Two basic assumptions of technical analysis are that security prices adjust

• A) rapidly to new information, and market prices are determined by the interaction of supply and demand.
• B) rapidly to new information, and liquidity is provided by security dealers.
• C) gradually to new information, and market prices are determined by the interaction of supply and demand.
• D) gradually to new information, and liquidity is provided by security dealers.
• E) rapidly to information and to the actions of insiders.

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Definitions:

Biological Processes

Complex interactions among living organisms or systems that lead to various physiological functions necessary for life.

Stimulates Appetite

Activities or substances that encourage eating by increasing the desire or drive to consume food.

Mental and Physiological Calm

A state of tranquility and relaxation involving both the mind and the body.

Home Bedtime Routine

A set of activities performed at home before going to bed to promote a good night's sleep.