There are three techniques available to help an investor make a market decision. Which of the following is not such an analysis technique?
A) Macro techniques that are based on the strong relationship between the economy and security markets.
B) Micro techniques that estimate future market values by applying one of several basic valuation models to equity markets.
C) Technical analysis where an investor analyses past and recent market movements for indications of future performance.
D) Fundamental analysis that considers the effect of market on the entire portfolio.
E) None of the above (that is, all are techniques available to make market decisions).

Question

Quizplus · Accepted Answer

Fundamental analysis, as described in the question, does not directly involve analyzing market movements to make investment decisions. Instead, it focuses on evaluating the financial and economic factors that affect a particular security or company. Therefore, it is not a market analysis technique per se, but rather a method of evaluating the underlying factors that influence market performance. A, B, and C are all common techniques used by investors to make market decisions.

There Are Three Techniques Available to Help an Investor Make