Under the weak-form of the EMH, the study of past price patterns can be effective in enabling investors to generate abnormal profits.

Question

Quizplus · Accepted Answer

According to the weak-form EMH, past price patterns cannot be used to generate abnormal profits since all historical price information is already reflected in current prices. Therefore, investors cannot use historical information to gain an advantage in the market.

Under the Weak-Form of the EMH, the Study of Past