Technical Analysis Indicators Quiz

What does a negative MACD value indicate?

• Positive momentum

• Negative momentum

• No significant change

• Market volatility

What does a positive MACD value indicate?

• Positive momentum

• Market volatility

• Negative momentum

• No significant change

What does the magnitude of the MACD value convey?

• Price volatility

• Market trend direction

• Stock price influence

• Trading volume impact

When does the MACD line cross the centerline from negative to positive territory?

• Increasing bearish momentum

• Increasing bullish momentum

• No significant change in momentum

• Market consolidation

When does the MACD line cross the centerline from positive to negative territory?

• Increasing bearish momentum

• Increasing bullish momentum

• Market consolidation

• No significant change in momentum

What is the purpose of the 9-day signal line in MACD?

• To determine the stock price influence

• To identify market volatility

• To calculate the MACD value

• To confirm the MACD crossover

What is the middle line in Bollinger Bands based on?

• 20 day EMA

• 20 day SMA

• 50 day EMA

• 50 day SMA

When should a trader consider selling based on Bollinger Bands?

• When the price is at the 50 day EMA

• When the price reaches the upper band

• When the price reaches the lower band

• When the price is at the middle line

When should a trader consider buying based on Bollinger Bands?

• When the price reaches the upper band

• When the price reaches the lower band

• When the price is at the middle line

• When the price is at the 50 day EMA

In which type of market does Bollinger Bands work well?

• Bearish market

• Volatility market

• Sideways market

• Trending market