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Which of the following is generally viewed as a bearish indicator for a stock?


A) It has a relatively high short-interest ratio.
B) Its 50-day moving average price has penetrated the 200-day average from above.
C) Following a price drop, the price penetrates the moving average from below.
D) It has an increasing relative strength ratio.

E) A) and B)
F) A) and C)

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Which of the following indicates the market is at its peak, according to contrarians?


A) The short-interest ratio is low
B) The bearish sentiment index is around 20 percent
C) Mutual fund liquidity is low
D) The number of stocks hitting all-time highs is low

E) B) and D)
F) A) and C)

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Technical analysis focuses on timing and on the short run.

A) True
B) False

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