If the Market Is Semistrong-Form Efficient,then Which One of the Following

question 21

Multiple Choice

If the market is semistrong-form efficient,then which one of the following statements is true?

• A) Neither technical nor fundamental analysis leads to abnormal profits.
• B) Technical analysts have the ability to earn excess profits but fundamental analysts cannot.
• C) Fundamental analysts can earn excess profits but technical analysts cannot.
• D) Both technical and fundamental analysts earn excess profits based on their research.
• E) No answer can be determined as the form of market efficiency is unrelated to abnormal, or excess returns.

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Definitions:

Antianxiety Drugs

Medications that are used to treat and manage anxiety disorders by reducing symptoms and improving overall functioning.

Mood Stabilizers

Medications used primarily in psychiatry to stabilize mood swings, particularly in conditions like bipolar disorder.

Antidepressant Drugs

Medications prescribed to alleviate symptoms of depression by altering brain chemistry, particularly neurotransmitter levels.

Antipsychotic Drugs

Medications primarily used to manage psychosis, including delusions, hallucinations, paranoia, or disordered thought.