What is one of the primary advantages of technical analysis (TA) over other stock market research techniques?

TA provides insights into a company's financial health. TA can be applied to various asset classes beyond just stocks. TA focuses on understanding the intrinsic value of a company. TA relies heavily on analyzing a company's management team.

Which of the following is NOT a core assumption of technical analysis?

Market psychology and trends influence price movements. Historical price patterns tend to repeat themselves. Understanding the reasons behind price changes is crucial. All available information is already reflected in the current price.

What does the acronym OHLC represent in the context of technical analysis?

Options, Holdings, Liquidity, Capital Open, High, Low, Close Overbought, Hold, Low, Close Organization, Hierarchy, Leadership, Control

Why is the closing price of a stock considered significant in technical analysis?

It reflects the overall market sentiment at the end of the trading day. It determines the opening price for the following trading day. It is always the highest price at which the stock traded during the day. It is used to calculate the company's market capitalization.