1.) The __________ pattern is considered by some investors and traders as one of the

more reliable chart patterns.

A.) head-and-shoulders

B.) double top

C.) cup-with-handle

D.) triangle

E.) None of the above

_____ 2.) Which of the following is not typically observed with growth stocks?

A.) A high P/E ratio

B.) High earnings growth

C.) A low stock price

D.) None of the above

_____ 3.) Which of the following is not an explanation for the outperformance of both small

firms and low book-to-market firms?

A.) Analysts under-estimating earnings

B.) Risk premiums (higher risk should result in higher returns)

C.) The companies are often previously distressed companies

D.) None of the above

_____ 4.) The __________ is a trend line momentum indicator.

A.) relative strength index

B.) stochastic oscillator

C.) moving average convergence divergence

D.) None of the above

_____ 5.) For the stochastic oscillator, investors and traders should:

A.) buy when the oscillator falls below a specific level and then rises above that level

B.) buy when the %K line rises above the %D line, and sell when the %K line falls

below the %D line

C.) look for divergences between prices, trends, and the oscillator

D.) A and B

E.) B and C

F.) All of the above

G.) None of the above