After shock to the intrinsic value of the firm the price of a share will slowly, however surely move towards new intrinsic value. Is such view reflects the characteristic of a believer in efficient markets or technical analyst. Explain Introduction; A technician or technical analyst in finance refers to the researcher that works over securities to conduct an investment analysis on the basis of past technical indicators and market prices. The technical analyst believes that the movement in price in the short term is all due to the forces of demand and supply in the market for a particular security.

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Definition Definition Degree to which financial markets incorporate all available information into the prices of assets. In a more efficient market, the prices reflect the available information more than that in a weak efficient market. It is difficult for investors to outperform the market in a strong efficient market. This is because all the available information is already discounted in the asset's price. However, in a weak-form efficiency, the market does not reflect all information in the asset's price. As a result, it becomes easier to generate better returns in a weak form or an inefficient market.

Chapter 9, Problem 13PS

Summary Introduction

To determine:

After shock to the intrinsic value of the firm the price of a share will slowly, however surely move towards new intrinsic value. Is such view reflects the characteristic of a believer in efficient markets or technical analyst. Explain

Introduction;

A technician or technical analyst in finance refers to the researcher that works over securities to conduct an investment analysis on the basis of past technical indicators and market prices. The technical analyst believes that the movement in price in the short term is all due to the forces of demand and supply in the market for a particular security.

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Answer 2

Question

Definition Definition Degree to which financial markets incorporate all available information into the prices of assets. In a more efficient market, the prices reflect the available information more than that in a weak efficient market. It is difficult for investors to outperform the market in a strong efficient market. This is because all the available information is already discounted in the asset's price. However, in a weak-form efficiency, the market does not reflect all information in the asset's price. As a result, it becomes easier to generate better returns in a weak form or an inefficient market.

Chapter 9, Problem 13PS

Summary Introduction

To determine:

After shock to the intrinsic value of the firm the price of a share will slowly, however surely move towards new intrinsic value. Is such view reflects the characteristic of a believer in efficient markets or technical analyst. Explain

Introduction;

A technician or technical analyst in finance refers to the researcher that works over securities to conduct an investment analysis on the basis of past technical indicators and market prices. The technical analyst believes that the movement in price in the short term is all due to the forces of demand and supply in the market for a particular security.

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 3

Question

Definition Definition Degree to which financial markets incorporate all available information into the prices of assets. In a more efficient market, the prices reflect the available information more than that in a weak efficient market. It is difficult for investors to outperform the market in a strong efficient market. This is because all the available information is already discounted in the asset's price. However, in a weak-form efficiency, the market does not reflect all information in the asset's price. As a result, it becomes easier to generate better returns in a weak form or an inefficient market.

Chapter 9, Problem 13PS

Summary Introduction

To determine:

After shock to the intrinsic value of the firm the price of a share will slowly, however surely move towards new intrinsic value. Is such view reflects the characteristic of a believer in efficient markets or technical analyst. Explain

Introduction;

A technician or technical analyst in finance refers to the researcher that works over securities to conduct an investment analysis on the basis of past technical indicators and market prices. The technical analyst believes that the movement in price in the short term is all due to the forces of demand and supply in the market for a particular security.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Definition Definition Degree to which financial markets incorporate all available information into the prices of assets. In a more efficient market, the prices reflect the available information more than that in a weak efficient market. It is difficult for investors to outperform the market in a strong efficient market. This is because all the available information is already discounted in the asset's price. However, in a weak-form efficiency, the market does not reflect all information in the asset's price. As a result, it becomes easier to generate better returns in a weak form or an inefficient market.

Chapter 9, Problem 13PS

Summary Introduction