Q887
Information which is reflected in current market prices with help of past price movements is classified as
A.
market efficiency
B.
semi strong efficiency
C.
weak form efficiency
AnswerD.
strong form efficiency
Answer: Option C
Solution
Answer: Option C
Solution:
Information which is reflected in current market prices with help of past price movements is classified as weak form efficiency. Weak form efficiency states that past prices, historical values and trends can't predict future prices. Weak form efficiency is an element of efficient market hypothesis. Weak form efficiency states that stock prices reflect all current information.