With regard to fundamental forecasting versus technical forecasting of exchange rates
A)the technicians tend to use "cause and effect" models.
B)the fundamentalists tend to believe that "history will repeat itself" is the best model.
C)the technicians tend to use "cause and effect" models and the fundamentalists tend to believe that "history will repeat itself" is the best model.
D)none of the options

Question

Quizplus · Accepted Answer

Fundamental forecasting focuses on "cause and effect" relationships by analyzing economic indicators and models to predict exchange rate movements. Technical forecasting, on the other hand, is based on the belief that "history will repeat itself" and uses historical data and price patterns. Therefore, none of the given options accurately describe the distinction between the two.

With Regard to Fundamental Forecasting Versus Technical Forecasting of Exchange