The Weak Form of the Efficient Market Hypothesis Denies the Use

question 69

Multiple Choice

The weak form of the efficient market hypothesis denies the use of:

• A) technical analysis, but supports fundamental analysis as valid.
• B) fundamental analysis, but supports technical analysis as valid.
• C) both technical analysis and fundamental analysis.
• D) technical analysis, but is silent on the possibility of successful fundamental analysis.

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Definitions:

Cognitive Linguistic Hypothesis

A theory suggesting that linguistic capabilities and patterns can significantly shape or influence an individual's cognition and perceptions.

Language Reaction Hypothesis

Suggests that the language one speaks influences their cognitive processes and reaction to stimuli.

Dynamic Hypothesis

A theory proposing that complex systems or patterns of behavior are characterized by continuous change, adaptation, or progression.

Morphemes

The smallest grammatical units in a language that carry meaning, such as prefixes, roots, and suffixes.