You discover that in the past a stock you are following splits when it hits 50. In a weak-form efficient market, you should be able to generate an abnormal profit with this information.

Question

Quizplus · Accepted Answer

In a weak-form efficient market, all past trading information, including stock splits, is already reflected in current stock prices, meaning you cannot use this information to generate abnormal profits.

You Discover That in the Past a Stock You Are