Technical traders view mutual fund investors as ________ market timers.
A) excellent
B) frequent
C) neutral
D) poor

Question

Quizplus · Accepted Answer

Technical traders believe that mutual fund investors are poor market timers because they tend to buy funds during market peaks and sell during market troughs, which is the opposite of what experienced traders do. This behavior can lead to significant losses and is the reason why technical traders often use mutual fund flows as a contrarian indicator.

Technical Traders View Mutual Fund Investors as ________ Market Timers