CFA Practice Question

There are 275 practice questions for this study session.

CFA Practice Question

The weak form of the efficient market hypothesis implies that ______

I. only major market events can be predicted.
II. past price changes cannot be used to predict future price changes.
III. technical analysis is useless.
Correct Answer: II and III

Technical analysts assume the markets are weak-form INEFFICIENT.

User Contributed Comments 7

User Comment
ljamieson technical analysis is useless
saltnvinegar What about the other two forms???
kutta2102 Results are mixed, I think. But semi-strong form market efficiency implies that Fundamental analysis is useless.
janglejuic technical analysis is not useless because this hypothesis is usually not true
khalifa92 technical analysis is based on historical data thus its useless in all forms efficient markets.
ibrahim18 Very funny. Technical analysis is useless. That is quite harsh.
MathLoser Fooled by randomness
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