Statement 1: Fundamental analysis is superior to technical analysis because it gives accurate measure of the security’s intrinsic value. Statement 2: Both fundamental and technical analysis can only give sensible investment decision. Statement 3: Both fundamental and technical analysis can bring accurate forecast for the future market performance when they are used by a security analyst. Statement 4: The end goal of fundamental and technical analysis is to give investors market foresight and for them to understand factors affecting each security. Statement 5: Both fundamental and technical analysis is both useful but technical analysis can provide better price forecasting because information is on hand a. Only statements 1 and 3 are correct b. Only statements 2 and 4 are correct c. Only statements 1 and 2 are correct d. Only statements 3 and 4 are correct
Statement 1: Fundamental analysis is superior to technical analysis because it gives accurate measure of the
security’s intrinsic value.
Statement 2: Both fundamental and technical analysis can only give sensible investment decision.
Statement 3: Both fundamental and technical analysis can bring accurate forecast for the future market
performance when they are used by a security analyst.
Statement 4: The end goal of fundamental and technical analysis is to give investors market foresight and for
them to understand factors affecting each security.
Statement 5: Both fundamental and technical analysis is both useful but technical analysis can provide better
price
a. Only statements 1 and 3 are correct
b. Only statements 2 and 4 are correct
c. Only statements 1 and 2 are correct
d. Only statements 3 and 4 are correct
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