Once the Actual Price and Moving Average (MA)series Are Plotted

question 13

Multiple Choice

Once the actual price and moving average (MA) series are plotted on the same graph,buy and sell signals are generated.So:

• A) buy when the actual price series cuts the MA from below, especially if the MA has been flat or in a gentle decline.
• B) sell when the MA series is rising strongly and the price series cuts or touches the MA from above, but then moves back above the MA after only a few observations.
• C) sell when the MA flattens or declines after a steady rise, and the price series cuts the MA from above.
• D) buy when the MA series is rising strongly and the price series cuts or touches the MA from above, but then moves back above the MA after only a few observations.

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