1
Q
Successful speculators must:
A
Know their contracts
have a trading plan
determine their K risk
analyze the market
2
Q
Overbought
A
Much buying pressure without co fundamentals to back it up
3
Q
Oversold
A
Prices decline steeply without a change in co. fundamentals
4
Q
Liquidating market
A
1) Long traders selling their holdings
2) short sellers covering their positions
5
Q
What does increasing volume and falling prices indicate?
A
Short selling
6
Q
What does increasing volume and rising prices indicate?
A
New buying
7
Q
Does futures trading help reduce volatility in cash mkt?
A
Yes
8
Q
What is the problem with markets that do not attract enough speculation?
A
Increased volatility
S3
flashcards
Decks in class (33)
# Cards
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S3 - 1.124
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S3 - 1.25
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S3 - 1.323
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S3 - 1.423
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S3 - 1.511
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S3 - 1.635
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S3 1.77
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S3 2.1 & 2.215
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S3 2.323
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S3 2.416
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S3 3.111
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S3 3.28
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S3 3.35
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S4 4.18
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S3 4.28
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S3 4.417
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S3 4.55
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S3 4.65
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S3 5.113
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S3 5.213
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S3 5.319
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S3 5.45
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S3 5.55
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S3 6.118
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S3 7.121
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S3 7.326
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S3 7.412
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S3 7.515
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S3 7.67
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S3 7.326
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S3 7.47
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S3 7.4B17
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S3 Options on Futures18
