Trading Test Trading Knowledge Test Instructions: Answer 25 randomly selected questions from the full Trading question bank. Each question is worth 4 points. Total score: 100 points. Attempt Limit: You may take this test up to 3 times using the same email address. Student Name Student Email 1. What is an inverse head and shoulders pattern? A broker signal A potential bullish reversal pattern A tax pattern A guaranteed bearish continuation 2. Using the image, what does the support bounce in image #12 suggest? Sellers gained control No market activity Guaranteed breakout Buyers defended support 3. What does a red candle usually mean? The broker froze trading A dividend was paid Price closed lower than it opened Price closed higher than it opened 4. What is confirmation in trading? A broker bonus Additional evidence supporting a trade idea A guaranteed result A tax receipt 5. What is support? A tax form A broker support chat A market holiday A price area where buyers may step in 6. What is a trading plan? A broker password A written set of rules for entries, exits, risk, and strategy A tax document A random guess 7. What is a false breakout? A dividend increase A broker error only Price breaks a level but quickly reverses back A guaranteed win 8. Why is setting an exit before entering helpful? It defines risk and profit targets in advance It increases emotions It removes market movement It guarantees a win 9. What is multi-timeframe analysis? Trading only one candle Using more than one timeframe to understand market context Avoiding charts Using only news 10. Using the image, what is the key lesson in image #35? Random entries Ignoring risk management Trading without a plan Proper stop loss placement below swing low 11. What is an exit? The first chart candle A broker password A watchlist The point where a trader closes a trade 12. What is scalping? Buying only ETFs Holding trades for years Investing monthly Taking very short-term trades for small price movements 13. What happens when support breaks? It always becomes bullish It can become new resistance It guarantees profit It closes the market 14. What is a candle wick? A broker password A dividend mark The line showing price extremes beyond the body A market holiday 15. What is a doji candle? A candle with no wick ever A dividend pattern A guaranteed reversal A candle where open and close are very close 16. Using the image, what do the levels in image #21 represent? EMA crossover Supply zones only Horizontal support and resistance Risk-to-reward ratio 17. Using the image, what does image #15 primarily illustrate? Risk-to-reward setup EMA crossover Double top Liquidity sweep 18. What is the main difference between trading and investing? There is no difference Trading is usually shorter-term; investing is usually longer-term Investing is always daily Trading is risk-free 19. Using the image, what happens after the breakout in image #14? The market closes Volume disappears Price retests the breakout level Price stops moving forever 20. Using the image, what is shown in image #25? EMA crossover Bear Flag continuation pattern Cup and Handle Bullish reversal pattern 21. What is consolidation? A broker fee Price moving straight up forever A dividend plan Price moving sideways in a range 22. What is a hammer candle? A guaranteed breakout A dividend signal A candle with a small body and long lower wick A candle with no price movement 23. Using the image, what does image #27 illustrate? Demand Zone Head and Shoulders Descending Triangle Supply Zone 24. What are LEAPS? Long-term options contracts with expirations far in the future Crypto wallets Forex sessions Same-day trades 25. What can a long lower wick suggest? A broker fee No buyers Guaranteed bearish continuation Buying pressure near the low Submit Test