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Veseljchak [2.6K]
3 years ago
14

If it proves possible to make abnormal profits based on information regarding past stock prices, then the market:___________

Business
1 answer:
Alla [95]3 years ago
4 0

Answer:

a. is weak-form efficient

Explanation:

A weak-form efficient market postulates that the present price of a stock reflects previous all data from past prices.

It suggests that no technical analysis can be of help to the investor.

This implies that fundamental analysis using historical prices and data of a stock can be used to predict stocks that are overpriced or underpriced.

So researching a company's financial statements gives an edge on predicting today's stock price.

Investors can make abnormal profit

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