You buy a stock from the capital market. If the capital market is semi-strong efficient, which of the following statements is NOT correct? a. You cannot earn any abnormal returns above the required return by trading on public information. b. Past stock prices can be used to predict future stock prices. c. The technical analysis of publicly available information will not lead to any abnormal returns. d. The stock is fairly priced. e. Stock prices reflect all publicly available information
You buy a stock from the capital market. If the capital market is semi-strong efficient, which of the following statements is NOT correct? a. You cannot earn any abnormal returns above the required return by trading on public information. b. Past stock prices can be used to predict future stock prices. c. The technical analysis of publicly available information will not lead to any abnormal returns. d. The stock is fairly priced. e. Stock prices reflect all publicly available information
Business/Professional Ethics Directors/Executives/Acct
8th Edition
ISBN:9781337485913
Author:BROOKS
Publisher:BROOKS
Chapter1: Ethics Expectations
Section: Chapter Questions
Problem 10.9EC
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Question
You buy a stock from the capital market. If the capital market is semi-strong efficient, which of the following statements is NOT correct?
a.
You cannot earn any abnormal returns above the required return by trading on public information.
b.
Past stock prices can be used to predict future stock prices.
c.
The technical analysis of publicly available information will not lead to any abnormal returns.
d.
The stock is fairly priced.
e.
Stock prices reflect all publicly available information.
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