Question 3 (25 Marks) Part 1 Kindly see information given for the T&T Stock exchange over the last 3 days. Day No. of Stocks No. of Stocks Volume shares Volume shares rising in Price falling in Price rising in Price falling in price 1 150 850 million 420 million 275 225 450 million 725 million 3 260 240 850 million 420 million (1) Which days would you consider bullish or bearish? Explain using the TRIN ratio. (6 Marks) (ii) Explain the concept of moving average and how it aids decision making. (4 Marks) 350 2 Assume the following daily closings for the Dow Jones Industrial Average: Day DJIA Day DJIA 1 13,010 7 13,220 2 13,100 8 13,130 3 13,165 9 13,250 4 13,080 10 13,315 5 13,070 11 13,240 6 13,150 12 13,310 Calculate a four-day moving average for Days 4 through 12. (10 marks) b. Assume that the index on Day 13 closes at 13,300. Would this signal a buy or sell? Explain. (5 marks) a