1. Sabrina has been using crossover (which is a technical analysis strategy) over the past 3 years by comparing the short-term moving average against the long-term moving average to identify buy or sell signal. She has earned consistent abnormal returns based on this strategy. Please explain the efficiency of the market (i.e. inefficient/weak-form/semi-strong form/strong form) and give reasons for your answer. (3 marks)

2. Based on the performance and information of the two funds below, Lenora concludes that the market is semi-strong efficient. Please judge whether her statement is correct or not and give reasons for your answer. (3 marks)

	Performance (Return in percentage)	Management Fee (in percentage)
Fund A	12%	0.2%
Fund B	12%	1.1%

3. Lara uses put-call ratio to gauge the overall sentiment in the Australian equity market. Based on the current put-call ratio of 0.96, Lara sells stocks in the market. What is the best terminology to describe Laras strategy (i.e. contrarian or momentum) and explain your answers? (3 marks)