CFA Practice Question
If a stock's price rises while its volume declines, technicians usually interpret this as a signal that ______
A. the trend is starting to lose its legs and may soon end.
B. long positions should be maintained.
C. the opening and closing prices will be reversed.
Explanation: Information about volume can be crucial for some technicians. In this case, it indicates that the demand for the stock at a higher price will cease soon.
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