What does technical analysis use the word "support level" to mean? A. Potential ceiling for stock prices B. Price level at which a stock may stop falling and bounce back C. Indicator of overbought conditions D. Average price of a stock over a specific period
Question
What does technical analysis use the word "support level" to mean? A. Potential ceiling for stock prices B. Price level at which a stock may stop falling and bounce back C. Indicator of overbought conditions D. Average price of a stock over a specific period
Solution
The term "support level" in technical analysis refers to B. Price level at which a stock may stop falling and bounce back. This is a price level where the stock has historically not fallen below, suggesting that investors see it as a good value at that price and are willing to buy, which can push the price back up.
Similar Questions
In relation to technical analysis, a support level is:Question 8Select one:a.a level beyond which the market is unlikely to rise.b.a level below which the market is unlikely to fall.c.an equilibrium price level supported by earnings and cash flows.d.the complete cycle of a market wave.
According to Technical analysis, if a stock price is on a rising trend, it is likely to encounterASupport levelBSelling point levelCResistance level
Service level is the complement of the probability of a stockout. In other words, if a company sets the service level at 92% for a certain item it means they are willing to live with an 8% chance of having a stockout. True False
A resistance level is a price rangea.at which a significant increase in demand for a stock is expectedb.below which a stock price cannot goc.at which a significant increase in the supply of a stock is expectedd.above which a stock price cannot goClear my choice
A decline in the price levels is called
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.