Weak-form efficient markets use all of the following EXCEPT
A) yesterday's prices to formulate buying decisions
B) any information to formulate selling decisions
C) last week's prices to formulate selling decisions
D) any previous prices to formulate buy or sell decisions

Question

Quizplus · Accepted Answer

Weak-form efficient markets assume that all past trading information is already reflected in stock prices. Therefore, investors cannot earn excess returns by trading on historical price information alone. Choice B is incorrect because it suggests using "any information" which goes beyond just past prices and could include fundamental or insider information, not accounted for in weak-form efficiency.

Weak-Form Efficient Markets Use All of the Following EXCEPT