Tests used to rate the performance of rules developed in technical analysis conclude that
A) technical analysis outperforms the overall market.
B) technical analysis far outperforms the overall market, suggesting that stockbrokers provide valuable services.
C) technical analysis does not outperform the overall market.
D) technical analysis does not outperform the overall market, suggesting that stockbrokers do not provide services of any value.

Question

Quizplus · Accepted Answer

Several tests have been conducted to rate the performance of rules developed in technical analysis, and the results suggest that technical analysis does not outperform the overall market. Therefore, the correct choice is C. Option A and B are incorrect because they suggest that technical analysis performs better than the overall market, which is not supported by empirical evidence. Option D is incorrect as it makes a sweeping generalization that all stockbrokers do not provide any value, which is not necessarily supported by the evidence.

Tests Used to Rate the Performance of Rules Developed in Technical