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Vce CMT-Level-II Questions Latest

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Question 20

Which of the following BEST describes equity market performance during the presidential election cycle:

Options:

A.

Market has its strongest year during first year of president's term, posts its worst returns during the pre-election year and slightly negative returns in election years

B.

Market has an above average year during first year of president's term, posts negative returns during the pre-election year and its strongest returns in election years

C.

Market has a below average year during first year of president's term, posts its strongest returns during the pre-election year or in the election year

D.

Market has a below average year during first year of president's term, posts its strongest returns in the second year and reasonably strong returns during the pre-election and election years

Question 21

Which of the following factors would increase the predictive power of the evening star pattern?

Options:

A.

If there is no overlap among the real bodies of the candles in the pattern

B.

If the last candle closes deeply into the body of the first candle

C.

If there is light volume on the first candle of the pattern and heavy volume on the last candle of the pattern

D.

All of the above

Question 22

Which of the following point and figure trading techniques limits risk compared to more basic trading rules?

Options:

A.

Buy or sell as soon as a new column is created on the chart

B.

Close out your trade on the second reversal back in the direction of the original signal

C.

Take small consistent profits, but allow large, windfall profitable positions to run

D.

Buy or sell on pullbacks after initial trade signal

Question 23

The stochastic oscillator was created utilizing which basic observation?

Options:

A.

As prices decline, the trading range tends to narrow

B.

Changes in volume precedes price movements

C.

Existing oscillators were limited to a range of 0 to 100

D.

As prices increase, prices tend to be closer to the upper end of the trading range

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Exam Code: CMT-Level-II
Exam Name: CMT Level II Exam
Last Update: Nov 23, 2024
Questions: 262
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