لفهم ملاحظ المراجعة Flashcards
22040601 - do technical indicators often agree or disagree with fundamental indicators? Give one example.
Disagree. Raising dividend yield values stock more but could decrease its price.
22040602 - what are five premises of technical analysis?
Price discounts all security information. Prices move in trends. Market has cycles. Supply and demand determine price. Emotional decisions cause next emotional decisions.
22040603 - what does explain support and resistance and loss aversion? What is loss aversion category?
Emotional decisions cause next emotional decisions. Behavioral economics.
22040604 - what are three requirements for technical analysis of market and one requirements of stock properties?
Market must be free from price manipulation or at least free market capitalism at work and open to informed participants. Market is liquid and orders is applied immediately. Its data is available for large audience for analysis. Stock is fungible.
22040605 - what is relationship between technical analysis and fundamental analysis indicators?
Technical analysis isolate components other than price of fundamental analysis indicators.
22040606 - when to buy and when to stop and sell your stocks with MACD indicator? Why?
Buy when it indicates raising trend and stop and sell when it indicates falling trend because there’s no guarantee of stop falling.
22040607 - what is relationship between supply, demand and price trend?
When supply is greater than demand prices fall. When demand is greater than supply prices rise.
22040608 - why using small leverage is better than large leverage?
Use small leverage empowers knowledge, disclosed by price, since more people know more than less people.
22040609 - why does price move in trend?
Because of demographic or economic trends. -w