The Weak Form of the Efficient Market Hypothesis States That

question 9

True/False

The weak form of the efficient market hypothesis states that an investor can profit by using past price data.
The weak form indicates that past pricing is unrelated to future pricing, and therefore has no predictive value.

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Definitions:

Secondary Source

A document or recording that relays information not originally created by the author or speaker, often summarizing or commenting on primary sources.

Compartmentalizing

The practice of separating activities, tasks, or information into distinct sections for improved management and focus.

Discrete Topics

Individual, distinct subjects or areas of discussion that are separate from each other.

Primary Source

an original document or firsthand evidence that is used in research and historical analysis.