Which Statement Is Correct

question 70

Multiple Choice

Which statement is correct?

• A) The momentum factor refers to the tendency for stock price changes to reverse.
• B) The momentum factor refers to the tendency for stock price changes to persist for a while and then revert.
• C) The momentum factor implies that stock prices are rather like a pendulum.
• D) The momentum factor is inconsistent with the strong form of the efficient market hypothesis.

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Definitions:

Various States

Diverse or different states within a country, especially in a federal system where states have certain levels of autonomy and unique laws and policies.

Republic

A form of government in which power is held by the elected representatives of the people, and the head of state is usually a president.

Revolutionary-era

The period marked by political and social upheavals leading up to, during, and immediately following the American Revolution, characterized by the American colonies' struggle for independence from British rule.

Noah Webster

An American lexicographer, textbook pioneer, English-language spelling reformer, and writer, known for his creation of the first American English dictionary.