CFA Practice Question

There are 221 practice questions for this study session.

CFA Practice Question

Technical analysis is most widely accepted by ______ and usually rejected by ______.

A. academicians; practitioners
B. practitioners; academicians
C. traders; academicians
Correct Answer: C

Academic research indicates that, on average, you cannot outperform the market on a risk-adjusted basis. Statistics also say prices are independent, which causes rejection of technical analysis.

User Contributed Comments 5

User Comment
ramborob Assuming "Practitioners" refers to technical analysts, B could also be correct.
achu I was thinking they're similar, but traders is a little bit more precise. Practictioner could include mutual fund managers or other fundamental investors who reject technical analysis.
DannyZhou Good point, Warren is a practitioner too.
JakeZ Practitioners include traders who PRACTICE technical trading no?
Logaritmus Probably practioners use both Technical and Fundamental analysis. If they have strong fundaments to invest, there will they try to find the best possible moment to enter the investment.
You need to log in first to add your comment.