Technicians Using the Confidence Index Published by Barrons to Make

Multiple Choice

Technicians using the confidence index published by Barrons to make investment decisions

A) Believe the ratio is a bullish indicator because during periods of high confidence investors will invest in higher quality bonds.
B) Believe the ratio is a bearish indicator because during periods of high confidence investors will invest in higher quality bonds.
C) Believe the ration is a bearish indicator because during periods of high confidence investors will invest in lower quality bonds.
D) Believe the ration is a bullish indicator because during periods of high confidence investors will invest in lower quality bonds.
E) None of the above.