答案和详解如下： 11.The breadth of the market is a measure of the strength of market price support. Which of the following is NOT a technical indicator for measuring market breadth? A) The short-interest ratio. B) The advance-decline line. C) Percent of stocks above their 200-day moving average. D) Over the counter (OTC) versus New York Stock Exchange (NYSE) volume. The correct answer was D) The over-the-counter (OTC) vs. NYSE volume does not determine market breadth but is instead considered one of the six technical indicators used by contrarians. If the ratio of OTC to NYSE volume is above a certain level then the market is thought to have peaked because OTC stocks are more speculative than NYSE stocks. 12.Which of the following statements about technical analysts is CORRECT? A) When margin balances in brokerages accounts increase, contrary-opinion technicians are bearish. B) When the yield spread on high-quality versus lower-quality bonds narrows, the confidence index decreases and smart-money technicians become bullish. C) When investors' credit balances are falling, contrary-opinion technicians are bearish. D) A technical analyst supports the weak form of the efficient market hypothesis. The correct answer was C) When investor credit balances are falling, investors are bullish, so contrary-opinion technicians are bearish. The other statements are incorrect. The weak form of the efficient market hypothesis (EMH) refutes technical trading. A narrowing yield spread is a bullish sign to smart-money technicians, but because it means that the confidence index has increased. Although an increase in margin (debit) balances in brokerages accounts means investors are bullish, it is not an indicator used by contrary-opinion technicians. This would be a bullish sign to smart-money technicians. 13.Technicians use many technical techniques in analyzing the bond market as well as the stock market. What is the major difference in technical trading rules regarding the bond market vs. the stock market? A) Volume is more critical. B) Very little consideration of volume. C) Moving averages are studied. D) Mutual fund cash positions are examined. The correct answer was B) Generally, the analysis of bonds and stocks is the same. A major difference is that information on the volume of bond trading is difficult to obtain since most bonds are traded OTC, where volume is not reported. 14.A time series calculated as the cumulative number of net advances less net declines is called the: A) rising market price index. B) diffusion index. C) confidence index. D) breadth index. The correct answer was D) Breadth of market: the technician’s story in this case is that: §
The indexes represent a few large companies, not the whole market. §
The market has many medium and small companies. §
Frequently the index goes one way while smaller issues go the other. Broad market moves are moves in both the large and small companies. How do you gauge the strength of market support, i.e., the breadth of the market? Compare the advance-decline line with the market index. The advance-decline line is a running total sum of the daily advances less the declines on the NYSE. If the advance-decline line and the index move together, it shows the movement is broadly based across the market. A divergence between the trend in the index and the advance-decline would signal the market has hit a peak or trough. An alternative to the advance-decline line is the diffusion index. The diffusion index is a 5-week moving average of the daily total of the stocks that advanced plus one-half the number that remained unchanged, divided by the total number of issues traded. The confidence index = Quality bond yields/Average bond yields. In periods of confidence, investors sell quality bonds and buy lower quality bonds looking for yield. 15.A support level is the price range at which a technical analyst would expect the: A) demand for a stock to decrease substantially. B) supply of a stock to decrease substantially. C) supply of a stock to increase substantially. D) demand for a stock to increase substantially. The correct answer was D) Support and resistance levels. Most stock prices remain relatively stable and fluctuate up and down from their true value. The lower limit to these fluctuations is called a support level – the price range where a stock appears cheap and attracts buyers. The upper limit is called a resistance level – the price range where a stock appears expensive and initiates selling. Generally, a support level will develop after a stock has experienced a steady decline from a higher price level. Technicians believe that, at some price below the recent peak, other investors will buy who did not buy prior to the first price increase and have been waiting for a small reversal to get into the stock. When the price reaches this support price, demand surges and price and volume begin to increase again. | 
发表于 2008-4-16 17:36
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