Which of the Following Indicates the Market Is at Its

question 46

Multiple Choice

Which of the following indicates the market is at its peak,according to contrarians?

• A)the short-interest ratio is low
• B)the bearish sentiment index is around 20 percent
• C)mutual fund liquidity is low
• D)all of the above would indicate a market peak to a contrarian

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Definitions:

CISG

The United Nations Convention on Contracts for the International Sale of Goods, a treaty that establishes a uniform legal framework for international commerce.

Conforming Goods

Products that meet the specifications and standards outlined in a contract of sale.

Perfect Tender Rule

A principle in the Uniform Commercial Code requiring goods delivered under a sales contract to exactly meet the terms of the agreement.

Norms

Established standards of behavior or guidelines that are considered normal within a society or group.