Technical Analysis

Question 1

Support Level

Answer 1

subjective assessment of the price level below which the stock seems disinclined to fall

Question 2

Resistance Level

Answer 2

an apparent upper bound on stock prices, or a level presenting a barrier to further price appreciation

Question 3

Congestion Area

Answer 3

a region of the chart where many data points appear

Question 4

Breakout

Answer 4

when stock prices leave the congestion area and pierces either a support level or a resistance level

Question 5

Bullish

Answer 5

breakouts on the upside

Question 6

Bearish

Answer 6

breakouts on the downside

Question 7

Indicators with Economic Jusification

Answer 7

Short interest

Question 8

Short Interest

Answer 8

higher the figure, the larger is the potential demand for the shares

Question 9

Margin Loan Indicator

Answer 9

measures the extent to which market participants have borrowed money to finance their stock transactions

Question 10

Mutual Fund Cash Position

Answer 10

measures the proportion of total mutual fund assets currently held in cash-equivalent securities

Question 11

Confidence Index

Answer 11

ratio of the yield on high-grade bonds to the yield on lower-grade bonds

Question 12

Advance Decline Line

Answer 12

graphical representation of the next advance over a period of time

Question 13

Relative Strength Ratio

Answer 13

method of comparing one statistic to some benchmark statistic

Question 14

Moving Average

Answer 14

smoothed presentation of underlying historical data

Question 15

Indicators of the Witchcraft Variety

Answer 15

Super Bowl Indicator

Question 16

Super Bowl Indicator

Answer 16

the stock market will advance the following year if the game is won by a team from the original National Football League

Question 17

Sunspot

Answer 17

increased in activity leads to warmer temperature and more rain, leading to an improved harvest and a stronger economny

Question 18

Hemline Indicator

Answer 18

as shorter dress for women become the fasion, the market advances and vice versa

Question 19

Fibonacci Numbers

Answer 19

occur frequently & inexplicably in nature with a golden mean of 1.618

Question 20

Dow Theory

Answer 20

L/T direction of the market is the most important

Question 21

Kondratev Wave Theory

Answer 21

identified that a long-term business cycle is 50-60 years

Question 22

Chaos Theory

Answer 22

apparently random behavior is quite systematic or even deterministic

Question 23

Neural Network

Answer 23

trading system in which a forecasting models is trained to find a desired output from past trading data