Interns - Week One - August
- 1.
In which year did the FED last raise interest rates?
- A.
2017
- B.
2002
- C.
2016
- D.
2015
Correct Answer
A. 2017 -
- 2.
What was the impact of 'Brexit' on GBP/USD on the 24th June 2016?
- A.
It went up because of Pound strength
- B.
It went up because of Dollar weakness
- C.
It went down because of Pound weakness
- D.
No reaction
Correct Answer
C. It went down because of Pound weakness -
- 3.
Article 50 allows up to how many years of negotiations for post-exit terms?
- A.
6 months
- B.
2 years
- C.
1 year
- D.
1.5 years
Correct Answer
B. 2 yearsExplanation
After this period, the exiting country's relationship with the EU defaults to WTO rules, unless remaining member states unanimously agree to extend the negotiation period.Rate this question:
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- 4.
What is the inflation target for the majority of major developed countries?
- A.
0.5%
- B.
1%
- C.
2%
- D.
1.5%
Correct Answer
C. 2% -
- 5.
Which of these is not a Central Bank Monetary Policy Tool?
- A.
Interest Rates
- B.
Communication
- C.
Quantitative Easing
- D.
Fiscal Policy
Correct Answer
D. Fiscal Policy -
- 6.
A 'Hawk' is someone who prefers low rates? True or False?
- A.
False
- B.
True
Correct Answer
A. FalseExplanation
Those who support higher rates are hawks, while those who favour lower interest rates are labelled doves.Rate this question:
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- 7.
Select the correct statements from below about Support and Resistance
- A.
Support is an area in the market where there have been more buyers than sellers
- B.
Resistance is an area in the market where there have been more buyers than sellers
- C.
Resistance is an area in the market where there have been more sellers than buyers
- D.
Support is an area in the market where there have been more sellers than buyers
- E.
When an area of Support is broken it turns into Resistance
- F.
When an area of Resistance is broken it turns into Support
Correct Answer(s)
A. Support is an area in the market where there have been more buyers than sellers
C. Resistance is an area in the market where there have been more sellers than buyers
E. When an area of Support is broken it turns into Resistance
F. When an area of Resistance is broken it turns into Support -
- 8.
When volume is low, the market is more likely to be in a ranging or momentum market?
- A.
Ranging
- B.
Momentum
Correct Answer
A. Ranging -
- 9.
Out of the following - which Moving Average gives more weight to the latest data
- A.
Simple Moving Average
- B.
Linear Weighted Moving Average
- C.
Exponential Moving Average
Correct Answer
C. Exponential Moving Average -
- 10.
Should you pay any attention to previous day's Pivot Points?
- A.
Yes
- B.
No
- C.
Only if they are close to where market is trading
Correct Answer
B. NoExplanation
Yesterday's and previous days Pivot Points have no relevance to today's market movement.Rate this question:
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- 11.
Which statement is true about the 'Classic Trade'
- A.
When entering the 'Classic', you enter just before the level breaks
- B.
When entering the 'Classic', you wait for the level to break and then retrace back into the zone before getting in
- C.
As soon as the level breaks you enter
Correct Answer
B. When entering the 'Classic', you wait for the level to break and then retrace back into the zone before getting in -
- 12.
A Trend Line has to touch how many points?
- A.
1
- B.
2
- C.
3
Correct Answer
C. 3Explanation
Remember a trend will be stronger on a longer time-frame, Minimum 3 touches requiredRate this question:
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- 13.
What is the relationship between Bond Yield and Price?
- A.
Positively correlated
- B.
Negatively correlated
- C.
No correlated
Correct Answer
B. Negatively correlatedExplanation
When price goes up, the yield goes down and vise versa.Rate this question:
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- 14.
Should you always use a 'Stop Loss'?
- A.
Only when trading the news
- B.
Only when you have gone long in the market
- C.
Only if you hold the trade overnight
- D.
Yes
Correct Answer
D. YesExplanation
Always use a stop loss. It makes absolutely no sense not to use one. It protects you from incurring massive losses! Do not trade without oneRate this question:
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- 15.
What is correct in regards to counter trending? Tick two.
- A.
Traders should only hold the trade for a short period of time, as the trend is likely to continue
- B.
Traders should never counter trend
- C.
Traders should be aware of going against the majority and that there is higher risk
- D.
Traders can only counter trend in ranging markets
Correct Answer(s)
A. Traders should only hold the trade for a short period of time, as the trend is likely to continue
C. Traders should be aware of going against the majority and that there is higher risk -
- 16.
Which one of these statements is not correct?
- A.
US 10-Year cash market open is 1:20pm
- B.
US equity cash market open is at 2:30pm (Unless clocks change in the UK)
- C.
Volume in Oil increases on average after 2pm
- D.
Futures close at 5pm
Correct Answer
D. Futures close at 5pmExplanation
An exchange matrix will be sent to you after this exam. It is important to be aware of all of the ones that you trade.Rate this question:
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- 17.
Often when we receive economic data, a number of figures are released in quick succession. Traders will be required to absorb large amounts of information and this can affect a trader's ability to react. In such cases as these, tick TWO of the following options which best reflect the correct trading procedure
- A.
Ignore prior movement
- B.
Wait until all data is released
- C.
Decide on which figure has the most importance
- D.
Trade the first figure
Correct Answer(s)
B. Wait until all data is released
C. Decide on which figure has the most importance -
- 18.
In terms of a widespread global economic recession would the USD appreciate or depreciate in value against most other currencies?
- A.
Minimal effect
- B.
Appreciate
- C.
Depreciate
Correct Answer
B. AppreciateExplanation
Due to the safe haven status of the Dollar - it would lead to people putting their money into the currency. Other safe havens at the moment include Gold, Japanese Yen and US 10-year Government bondsRate this question:
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- 19.
What reaction would you expect to see in Oil if both eur/usd and gbp/usd go down due to large dollar strength?
- A.
Oil would decrease in price
- B.
Oil would increase in price
- C.
Very little reaction
Correct Answer
A. Oil would decrease in priceExplanation
Oil price would deprecate in value due to the fact that you would now need less US dollars to buy the same amount of Oil.Rate this question:
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- 20.
There is a 'Risk On - Risk Off' relationship between the S&P 500 and the US 10-year government bond
- A.
Yes
- B.
No
Correct Answer
A. Yes -
- 21.
A central bank says they will do a full scale Quantitative Easing programme. Which one of these following reactions is correct?
- A.
Currency Up, Bonds Up and Equities Down
- B.
Currency Up, Bonds Up and Equities Up
- C.
Currency Down, Bonds Down and Equities Down
- D.
Currency Down, Bonds Up and Equities Up
- E.
Currency Up, Bonds Down and Equities Up
Correct Answer
D. Currency Down, Bonds Up and Equities Up -
- 22.
A solid green line all the way across the Trading Ladder signifies the high of the day (HOD), what does a solid red line all the way across that ladder signify?
- A.
Moving Average
- B.
Resistance Level
- C.
Low of the Day
Correct Answer
C. Low of the Day -
- 23.
Which is the 2nd biggest economy in the world?
- A.
China
- B.
United Kingdom
- C.
Japan
- D.
The United States
Correct Answer
A. China -
- 24.
Which statement is true about Prospect Theory?
- A.
A trader is conscious of the equal value of money over time
- B.
A trader will let profits run and book losses early
- C.
A trader's satisfaction in response to profits is on a diminishing scale
- D.
Losses are felt to the same degree as gains
Correct Answer
C. A trader's satisfaction in response to profits is on a diminishing scale -
- 25.
Is Janet Yellen a Dove or a Hawk?
- A.
Dove
- B.
Hawk
Correct Answer
A. Dove -
- 26.
What was the reason for the large move here in GBP/USD?
- A.
September FED meeting
- B.
Brexit
- C.
Non-fam Payrolls
- D.
David Cameron's resignation
Correct Answer
B. Brexit -
- 27.
What could be the two reasons for the move lower in EUR/USD circled here?
- A.
Better than expected Euro data
- B.
Worse than expected US data
- C.
Better than expected US data
- D.
Worse than expected Euro data
Correct Answer(s)
C. Better than expected US data
D. Worse than expected Euro data -
- 28.
Select four of the following that are considered 'safe haven' products.
- A.
Gold
- B.
Swiss Franc
- C.
Oil
- D.
Pound
- E.
Euro
- F.
Japanese Yen
- G.
US 10-year Government Bonds
- H.
S&P 500
Correct Answer(s)
A. Gold
B. Swiss Franc
F. Japanese Yen
G. US 10-year Government Bonds -
- 29.
The Eurozone Central Bank is running their Quantitative Easing programme until when?
- A.
December 2018
- B.
August 2017
- C.
December 2017
- D.
March 2018
Correct Answer
C. December 2017 -
- 30.
Who just won the French Elections?
- A.
Marine Le Pen
- B.
Francios Fillon
- C.
Francios Hollande
- D.
Emmanuel Macron
Correct Answer
D. Emmanuel Macron -
- 31.
If European Inflation Data came in a lot WORSE than expected what would you expect to see in EURUSD?
- A.
Up because of Euro strength
- B.
Down because of Euro Strength
- C.
Up because of Euro weakness
- D.
Down because of Euro weakness
Correct Answer
D. Down because of Euro weakness -
- 32.
Select the 'Safe Haven' products from the list below
- A.
Gold
- B.
T-Notes
- C.
Yen
- D.
S&P 500
- E.
Dow Jones
- F.
Nasdaq
- G.
Euro
Correct Answer(s)
A. Gold
B. T-Notes
C. Yen -
- 33.
Stops and Targets will go on the same side of the ladder?
- A.
True
- B.
False
Correct Answer
A. True -
- 34.
Which of the below are US Equity markets?
- A.
FTSE 100
- B.
NASDAQ
- C.
DAX 30
- D.
NIKKEI 225
- E.
S&P 500
- F.
DOW JONES
- G.
GOLD
Correct Answer(s)
B. NASDAQ
E. S&P 500
F. DOW JONES -
- 35.
What are the Fibonacci percentage levels between 0% and 100%?
- A.
23.6, 38.2, 50, 61.8 and 76.4
- B.
22.4, 31.8, 50, 68.2 and 79.5
- C.
25, 50, 75
Correct Answer
A. 23.6, 38.2, 50, 61.8 and 76.4 -
- 36.
What currency from the list below will have a positive correlation with Oil?
- A.
Canadian Dollar
- B.
Japanese Yen
- C.
British Pound
Correct Answer
A. Canadian Dollar -
- 37.
Is Oil price nearer to $50 or $40?
- A.
$50
- B.
$40
Correct Answer
A. $50 -
- 38.
For the majority of 2017 - The Dollar has been strengthening or weakening?
- A.
Strenghtening
- B.
Weakening
Correct Answer
B. Weakening -
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Our quizzes are rigorously reviewed, monitored and continuously updated by our expert board to maintain accuracy, relevance, and timeliness.
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Current Version
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Mar 20, 2022Quiz Edited by
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Aug 21, 2017Quiz Created by
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