On November 22, the stock price of WalMart was $69.50, and the retailer stock index was 600.30. On November 25, the stock price of WalMart was $70.25, and the retailer stock index was 605.20. Consider the ratio of WalMart to the retailer index on November 22 and November 25. WalMart is _______ the retail industry, and technical analysts who follow relative strength would advise _______ the stock.
A) outperforming; buying
B) outperforming; selling
C) underperforming; buying
D) underperforming; selling
E) equally performing; neither buying nor selling

Question

Quizplus · Accepted Answer

11/22: $69.50/600.30 = 0.1158; 11/25: $70.25/605.20 = 0.1161; Thus, WalMart's relative strength is improving, and technicians using this technique would recommend buying.

On November 22, the Stock Price of WalMart Was $69