Investors Who Use the MACD Indicator as a Signal for Trading

question 76

Multiple Choice

Investors who use the MACD indicator as a signal for trading are most apt to buy a security when the MACD:

• A)equals zero.
• B)is equal to 1.0.
• C)rises above the signal line.
• D)parallels the signal line.
• E)falls below the signal line.

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Definitions:

Negotiation

The process of discussing something formally to reach an agreement or compromise between parties.

Conciliation

A process in dispute resolution where an impartial third party, the conciliator, assists the conflicting parties to reach a voluntary, amicable settlement.

Mediation

A form of alternative dispute resolution where a neutral third party helps disputing parties find a mutually satisfactory solution to their conflict.

Diversity of Citizenship

A legal principle allowing federal courts to hear cases in which the parties are citizens of different states or countries.