Which of the following is NOT a central belief held by technical analysts?
A)Prices tend to follow a random walk.
B)Price patterns tend to reappear in a cyclical fashion.
C)Appropriate research can identify patterns.
D)Price patterns identify when to buy and sell assets and so will achieve above-market returns.
E)None of these.

Question

Quizplus · Accepted Answer

Technical analysts do not believe that prices follow a random walk; instead, they believe that price movements are somewhat predictable based on historical patterns. This contrasts with the random walk theory, which suggests that stock prices are unpredictable and follow a random path.

Which of the Following Is NOT a Central Belief Held