Technical analysis differs from fundamental analysis in that
a) Technical analysts contend that in depth assessments of basic aggregate market, industry, and company performance is necessary; past price movements indicate future price movements.
b) Technical analysts believe the market value of common stocks is determined by the interaction of supply and demand.
c) Technical analysts argue that the market constantly weighs rational and irrational factors and that both of these affect price.
d) Technical analysts depend far more heavily on objective, data-based approaches than the fundamentalists do.
e) Technical analysts hold that the price of a security is determined by an expected
B) looks like your best answer.
http://www.investopedia.com/university/technical/
Yes, option B is the correct answer that distinguishes technical analysis from fundamental analysis. Technical analysts believe that the market value of stocks is determined by the interaction of supply and demand, and they use historical price data and patterns to predict future price movements. Fundamental analysis, on the other hand, involves assessing the intrinsic value of a stock by analyzing financial statements, economic factors, and industry trends. Technical analysis focuses more on price patterns and market psychology, while fundamental analysis involves a more in-depth assessment of company performance.
If you want to learn more about technical analysis, you can visit the website provided, Investopedia's "Technical Analysis Course." It offers comprehensive explanations and examples of technical analysis techniques.