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1.
Which of these
three statements best describes Technical
Indicators?
a) Mathematical calculations based on price data
b) Mathematical calculations based on volume
data
c) Mathematical calculations based on price
and/or volume
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2.
Which definition best describes a moving average
a) A mathematical
estimate of future changes in price;
b)
A consensus of price action over a certain
period of time;
c) A historical record of the highest closing
price and the lowest price over a certain period
of time;
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3.
Which statement best describes what we mean by
the term "Directional Movement"
a) Directional movement
is the largest part of the current period price
range which lies outside the previous period
price range;
b) The direction in which closing prices moved
during the course of the day;
c) An indicator used to forecast the likely
direction of tomorrows closing price;
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4. What
is one of the major advantages of the Linear
Regression indicator when compared to a simple
moving average?
a) The Linear Regression indicator takes into
account price and volume action;
b) The Linear Regression indicator takes into
account high price and lowest price over "n"
periods;
c) The Linear Regression indicator does not
exhibit as much delay as a moving indicator;
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Volatility Indicators
5.
Which of these statements are not used when
calculating the Average True Range Indicator?
a) The distance from
today's high to today's low;
b) The distance from yesterday's close to
today's high;
c) The distance from yesterday's low to today's
low;
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6. Which
of these statements is true?
a) A Price Envelope is
plotted at a fixed percentage above and below a
moving average. Bollinger Bands on the other
hand are plotted at standard deviation levels
above and below a moving average price;
b) A Price Envelope is plotted at standard
deviation levels above and below a moving
average. Bollinger Bands on the other hand are
plotted at a fixed percentage above and below a
moving average price;
c) Both Price Envelopes and Bollinger Bands are
plotted at a fixed percentage above and below a
combined moving average of high and low prices
for each day;
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7. The
primary use of the Relative Volatility Index
indicator is:
a) As a contrarian
indicator;
b) As a tool to measure the direction of
volatility;
c) As an alternative to the Relative Strength
Index;
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Momentum Indicators
8. The
MACD is calculated by subtracting: a) The difference
between a 26-day exponential moving average, and
12-day exponential moving average of closing
price;
b) The difference between a 12-day exponential
moving average, and 26-day exponential moving
average of closing price;
c) The difference between a 34-day exponential
moving average, and 13-day exponential moving
average of closing price;
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9. The
Price Rate of Change Indicator is used to:
a) Monitor the buying
or selling pressure of a stock;
b) Monitor the momentum of a stock;
c) Monitor the trend of a stock;
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10. The
Relative Strength Index Indicator is used to:
a) Compare the relative
strength of two securities;
b) Measure the internal strength of a single
security;
c) Compare the relative strength of a group of
securities;
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11. The
Stochastic Oscillator
a) Compares today's
price volatility to that recorded "n" periods
ago;
b) Compares today's volume to that recorded "n"
periods ago;
c)
Compares where a security's price has closed
relative to its price range over a specifically
defined period of time;
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12. The
Williams %R Indicator
a) Is a momentum
indicator that is similar to the Stochastic
Oscillator except that %R does not use internal
smoothing;
b) Is a trend that is similar in calculation to
the MACD;
c)
Can be used as a tool to measure the direction
of volatility; |
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Cycle Indicators
13. The
Mesa Sine Wave Indicator a) Can be used to tell
us when the market is in cycle mode and when it
isn't;
b) Can be used to anticipate cycle mode turning
points rather than waiting for confirmation as
is done with most oscillators;
c) Both a and b above; d) None of
the above;
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Market Strength Indicators
14.
Money flow is calculated a) Using price data
only;
b) Using volume data only;
c) A combination of price data and volume data; |
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Volume
15. Volume can be described as: a) The number of
potential buyers and sellers of a stock on a
given day;
b) The number of units traded for a specific
day;
c) The degree of price movement recorded for a
specific day; |
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Line Studies
16. The most common levels used in retracement
analysis are: a) 61.8%,38% and 50%
b) 68%,38% and 50%
c) 68%,33% and 50% d) 68%,33% and
55% |
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17.
When looking at swing charts, the key
determinants of "swing" are: a) The highs and lows
of the day;
b) The difference between today's closing price
and yesterdays closing price;
c) The difference between today's opening and
closing prices;
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18. The
basic Elliot pattern consists: a) A 3 wave uptrend
followed by a 5 wave correction;
b) A 5 wave uptrend followed by a 3 wave
correction;
c) A 5 wave uptrend followed by a 5 wave
correction;
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Entry & Exit Techniques
19.
When using a moving average crossover as our
entry rule it is preferable that: a) Our short term
moving average is trending upward;
b) Our long term moving average is trending
upward;
c) Both our short and long term moving averages
are trending upward; |
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