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WorksheetsTrendlines and Support & Resistance
Total questions: 15
Worksheet time: 8mins
Downtrends are characterized by:
Lower troughs and lower peaks
Lower troughs and higher peaks
Higher peaks and higher troughs
Prices trading in a range without significant upward movement
Which of the following statements is the best definition of a trend?
Price oscillations as they move toward a theoretical equilibrium.
A directional movement of prices that remains in effect long enough to be identifiable and still profitable.
When there are more buyers than sellers or more sellers than buyers, prices will tend to travel in one direction for a period of time or trend.
Changes in supply and demand over time.
Uptrends are characterized by:
Higher troughs
Horizontal peaks
Lower troughs
Lower peaks
Trendlines are usually drawn:
Connecting the peaks when prices are rising and connecting the troughs when prices are falling
Connecting the troughs when prices are rising and connecting the peaks when prices are falling
Connecting the peaks when prices are rising and connecting the peaks when prices are falling
As a best-fit line through the majority of the price action
This is the point where the stock price usually starts going down because there is too much supply and not enough demand.
Support Level
Resistance Level
Upward Trend
Sideways Trend
What are the 3 Kinds of Trends in the Trend Analysis?
Downward, Upward, No Trend
Downward, Upward, Sideways
Downward, Sideways, Intermittent
Downward, Upward, Wavy
One assumption of technical analysis is that price move in
Tandem
Course
Trends
Group
A continuous primary upward trend
Correction
Bull market
Resistance
Support
Downtrends are characterized by:
Lower troughs and lower peaks
Lower troughs and higher peaks
Higher peaks and higher troughs
Prices trading in a range without significant upward movement
Which of the following statements is the best definition of a trend?
Price oscillations as they move toward a theoretical equilibrium.
A directional movement of prices that remains in effect long enough to be identifiable and still profitable.
When there are more buyers than sellers or more sellers than buyers, prices will tend to travel in one direction for a period of time or trend.
Changes in supply and demand over time.
What is meant by price reversal?
a change in the price direction of an asset. It can occur to the upside or downside.
continuous upward price movement
when you get stopped out against your desired price
______ is something which stops the price from rising further.
Support Level
Bearish Level
Resistance level
None of the above
Which of the following best describes resistance?
a level in the price chart where most traders take profit.
a level in the price chart where most traders set their cut-loss.
a level in the price chart that determines the value of the volume of the traded stocks
Which of the following is true about support?
created by buyers entering the market whenever the asset dips to a upper price
price level that an asset does not fall below for period of time.
a price level where breakouts always happen
Which type of trend a novice trader should not place a trade on?
uptrend
downtrend
sideways
