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Following figure shows how stock prices adjust to new information. Which of the following is TRUE about the figure below 100 TO 0 3 Days

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Following figure shows how stock prices adjust to new information. Which of the following is TRUE about the figure below 100 TO 0 3 Days relative tense Blue solid line shows that prices over-adjusts to the new information but eventually falls to the appropriate price. Yellow dotted line shows that the price instantaneously adjusts to the new information, These price adjustments to unexpected news shows that we are in a strong form efficient market. Pink dotted line shows investors' overreaction and correction to the unexpected news. Following figure shows how stock prices adjust to new information. Which of the following is TRUE about the figure below 100 TO 0 3 Days relative tense Blue solid line shows that prices over-adjusts to the new information but eventually falls to the appropriate price. Yellow dotted line shows that the price instantaneously adjusts to the new information, These price adjustments to unexpected news shows that we are in a strong form efficient market. Pink dotted line shows investors' overreaction and correction to the unexpected news

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